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 Table of Contents
1. POLITY AND GOVERNANCE ____________ 4 5.2. Groundwater Extraction in India ________ 54
1.1. Mission Karmayogi ____________________ 4 5.3. Global Biodiversity Outlook ____________ 56
1.2. Election Commission Tackling Criminalisation 5.4. The Living Planet Report 2020 (LPR) _____ 57
of Politics _______________________________ 5 6. SOCIAL ISSUES ______________________59
1.3. Kesavananda Bharati Case ______________ 7 6.1. The Human Capital Index 2020 _________ 59
1.4. Question Hour _______________________ 8 6.2. Ayushman Bharat- Pradhan Mantri Jan
1.5. Aspirational Districts Programme _______ 10 Arogya Yojana (PMJAY) ___________________ 60
1.6. Important Data - Crime in India 2019 report 6.3. National Medical Commission __________ 62
______________________________________ 12 6.4. Vaccine Hesitancy____________________ 64
2. INTERNATIONAL RELATIONS __________ 14 6.5. Epidemic Diseases (Amendment) Bill, 2020
2.1. Rise of the Minilaterals _______________ 14 ______________________________________ 65
2.2. Bay of Bengal Initiative for Multi-Sectoral 7. SCIENCE AND TECHNOLOGY____________67
Technical and Economic Cooperation (BIMSTEC) 7.1. Data Empowerment and Protection
______________________________________ 15 Architecture ____________________________ 67
2.3. International Criminal Court ___________ 17 7.2. Alternative Medicines ________________ 68
2.4. Afghan Peace Process ________________ 19 7.2.1. The National Commission for Indian System of
2.5. Data Free Flow with Trust (DFFT) _______ 20 Medicine Act (NCISM), 2020 _________________ 69
3. ECONOMY _________________________ 23 7.2.2. The National Commission for Homoeopathy
(NCH) Act, 2020 ___________________________ 70
3.1. Agricultural Reforms _________________ 23
7.2.3. The Institute of Teaching and Research in
3.1.1. The Farmers' Produce Trade and Commerce
Ayurveda (ITRA) Act, 2020 ___________________ 70
(Promotion and Facilitation) Act, 2020 _________ 24
3.1.2. The Farmers (Empowerment and Protection)
7.3. Assisted Reproductive Technology ______ 71
Agreement on Price Assurance and Farm Services Act, 7.4. Trans Fats __________________________ 72
2020 ____________________________________ 25 7.5. Mars Orbiter Mission _________________ 73
3.1.3. The Essential Commodities (Amendment) Act, 7.6. Hypersonic Technology Demonstration
2020 ____________________________________ 26 Vehicle (HSTDV) _________________________ 74
3.2. Labour Codes _______________________ 27 8. CULTURE ___________________________76
3.2.1. Code on Industrial Relations, 2020 _______ 27 8.1. Kakatiya Dynasty ____________________ 76
3.2.2. Code on Social Security, 2020 ___________ 29 8.2. Bagh Print __________________________ 77
3.2.3. Code on Occupational Safety, Health and
9. ETHICS _____________________________79
Working Conditions, 2020 ___________________ 30
9.1. Beyond Growth: Towards a New Economic
3.3. Amendments to Public Procurement Order,
Approach ______________________________ 79
2017 __________________________________ 32
3.4. Bilateral Netting _____________________ 33 10. SCHEMES IN NEWS __________________81
3.5. Companies (Amendment) Act, 2020 _____ 34 10.1. Start-Up Village Entrepreneurship
3.6. Business Reform Action Plan- Ease of Doing Programme (SVEP) ______________________ 81
Business Ranking ________________________ 36 10.2. Pradhan Mantri Jan Vikas Karyakram
3.7. Restructuring of Loans ________________ 37 (PMJVK) _______________________________ 81
3.8. Revised Priority Sector Lending (PSL) 11. NEWS IN SHORTS ___________________83
Guidelines _____________________________ 37 11.1. Singapore Convention on Mediation Comes into
Force ____________________________________ 83
3.9. Banking Regulation (Amendment) Bill, 2020
11.2. A- WEB ______________________________ 83
______________________________________ 39 11.3. e-GramSwaraj Portal ___________________ 83
3.10. Innovation Ecosystem: What, why and how? 11.4. India proposes voluntary ‘G-20 Principles on
______________________________________ 41 Coordinated Cross-Border Movement of People’ _ 84
3.11. Results of Ranking of States on Support to 11.5. Finance Minister Unveils Doorstep Banking
Startup Ecosystems ______________________ 43 Services and Declares EASE 2.0 Index Results ____ 84
3.12. Pandemic Risk Pool _________________ 44 11.6. Domestic Systemically Important Insurers
3.13. Green Term Ahead Market ___________ 45 (DSIIS) ___________________________________ 84
4. SECURITY__________________________ 47 11.7. ANIC-ARISE (Atal New India Challenges in
Applied Research and Innovation for Medium and
4.1. Defence Acquisition Procedure, 2020 ____ 47
Small Enterprises) Launched _________________ 85
4.2. Piracy in the Indian Ocean Region _______ 48 11.8. Entrepreneurship Development Institute of
5. ENVIRONMENT _____________________ 52 India (EDII) _______________________________ 85
5.1. Namami Gange Mission _______________ 52

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 11.9. SAROD-Ports (Society for Affordable Redressal 11.22. KIRAN ______________________________ 88
of Disputes-Ports) __________________________ 85 11.23. India Post launches Five Star Villages Scheme
11.10. Global Economic Freedom Index ________ 85 _________________________________________ 88
11.11. Global Smart City Index (SCI) ___________ 85 11.24. Defence India StartupChallenge-4 (DISC 4) 89
11.12. Global Initiative to Reduce Land Degradation 11.25. Successful Flight Test of ABHYAS ________ 89
and Coral Reef Program Launched ____________ 85 11.26. Special Frontier Force (SFF) ____________ 89
11.13. Climate Smart Cities Assessment Framework 11.27. INDRA NAVY ________________________ 89
(CSCAF 2.0) and Streets for People Challenge 11.28. Passage Exercise (PASSEX) _____________ 89
Launched ________________________________ 86 11.29. JIMEX 20 ___________________________ 89
11.14. Pantanal, Brazil ______________________ 86 11.30. Himalayan Chandra Telescope __________ 89
11.15. Medicanes __________________________ 86 11.31. India’s Second Rocket Launch Pad _______ 90
11.16. State Disaster Relief Fund (SDRF) ________ 87 11.32. Sun has Begun a New Solar Cycle ________ 90
11.17. NITI Aayog to Leverage Monitoring 11.33. Scientific and Useful Profound Research
Mechanism of Global Multidimensional Poverty Advancement (SUPRA) Scheme _______________ 90
Index (MPI) _______________________________ 87 11.34. United Nations Children’s Fund (UNICEF) to
11.18. Levels and Trends in Child Mortality Report Lead Global Procurement, Supply of COVID Vaccines
2020 by UNICEF ___________________________ 87 _________________________________________ 91
11.19. POSHAN Maah _______________________ 88 11.35. Ghar tak Fibre Scheme ________________ 91
11.20. Ministry of Social Justice and Empowerment 11.36. Shanti Swarup Bhatnagar (SSB) Prize _____ 91
Frames Transgender Persons (Protection of Rights) 11.37. Saathi Initiative ______________________ 91
Rules, 2020 _______________________________ 88 11.38. 25th Birth Anniversary of Sri Viswanatha
11.21. Ministry for Social Justice and Empowerment Satyanarayana ____________________________ 91
(MoSJE) Launches Ambedkar Social Innovation & 11.39. Rare Renati Chol Inscription Unearthed ___ 92
Incubation Mission (ASIIM) __________________ 88 11.40. Destination North East-2020' ___________ 92

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1. POLITY AND GOVERNANCE
1.1. MISSION KARMAYOGI
Why in news?
Recently, the Cabinet approved "Mission Karmayogi"- National Programme for Civil Services Capacity Building
(NPCSCB).
Salient Features
• Financial Allocation: To cover around 46 lakh Central employees, a sum of Rs.510.86 crore will be spent over
a period of 5 years from 2020-21 to 2024-25. The expenditure is partly funded by multilateral assistance to
the tune of USD 50 million.
• The core guiding principles of the Programme will be-
o Transition from 'Rules based' to 'Roles based’ Human Resource (HR) Management by aligning work
allocation of civil servants by matching their competencies to the requirements of the post.
o Emphasizing on 'on-site learning' to complement the ‘off-site’ learning.
o To create an ecosystem of shared training infrastructure including that of learning materials, institutions
and personnel.
o To calibrate all Civil Service positions to a Framework of Roles, Activities and Competencies
(FRACs) approach.
o To make available to all civil servants, an opportunity to continuously build and strengthen
their Behavioral, Functional and Domain Competencies.
o To enable all the Central Ministries and Departments to directly invest their resources towards co-
creation of common ecosystem.
o To encourage and partner with the best-in-class learning content creators including public training
institutions, universities etc.
• The Programme will be delivered by setting up an Integrated Government Online Training-iGOT Karmayogi
Platform. It will provide curated digital e-learning material for capacity building. Other service matters like
confirmation after probation period, deployment, work assignment and notification of vacancies etc. would
eventually be integrated with it.
o An appropriate monitoring and evaluation framework will also be put in place for performance
evaluation of all users of the iGOT-Karmayogi platform so as to generate a dashboard view of Key
Performance Indicators.
• Institutional framework:
o Prime Minister's Public Human Resources (HR) Council: It will serve as the apex body for providing
strategic direction to the task of Civil Services Reform and capacity building under the Chairmanship of
Prime Minister. It will consist of select Union Ministers, Chief Ministers, eminent public HR practitioners,
thinkers, global thought leaders and Public Service functionaries.
o Capacity Building Commission: The role of Commission will be –
▪ To assist the PM Public Human Resources Council in approving the Annual Capacity Building Plans and
coordinate and supervise the implementation of these plans with the stakeholder Departments.
▪ To exercise functional supervision over all Central Training Institutions dealing with civil services
capacity building.
▪ To create shared learning resources, including internal and external faculty and resource centers.
▪ To set norms for common mid-career training programs across all civil services.
▪ To suggest policy interventions required in the areas of HR Management, training and Capacity
Building to the Government.
o Special Purpose Vehicle: It will be set up under Section 8 of the Companies Act, 2013 for owning and
operating the digital assets and the iGOT-Karmayog platform for online training.
o Coordination Unit headed by the Cabinet Secretary

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Intended Benefits
Concerns related to the programme
• Ensuring efficient service delivery: as work will • Challenges related to incentives–linked training:
be assigned to civil servants with specific role- Previous methodologies for performance assessment
competencies and appointing authorities will have not remained consistent, credible and transparent.
have readymade data available for choosing • Over-centralization of the system: A diverse public sector
the right candidate for the right job. workforce needs a decentralised training and learning
• Accountability and Transparency in ecosystem.
Governance: through real time evaluation and • Distance self-learning can build supplementary skills and
goal driven and constant training will ensure update knowledge at the frontlines but may not be well
“Ease of Living” for common man and “Ease of suited for core knowledge development.
Doing Business” for all. • The whole burden of self-learning may get transferred to
already overloaded individuals which can lead to a
• Citizen-Centricity approach: 'On-site learning'
decline in overall motivation and morale.
can reduce the gap between the government • Resistance: Indian bureaucracy is largely status-quo and
and the citizens. stands for conservatism. It resists reforms and
• Preparing the Indian Civil Servant for the innovations. Hence, a reform at this scale may face several
future: through technology driven learning and resistances within the bureaucracy.
Standardization of training priorities and
pedagogy across institutes, making him more innovative, professional, progressive and technology-enabled.
• Collaborative and common ecosystem: will end the culture of working in silos, reduce duplication of efforts
and bring out a new work culture that will focus on individual as well as institutional capacity building.
• Bridging the gap between generalization and specialization: which exists due to lack of mid-level training at
all levels.
Conclusion
The centralised institutional architecture of the proposed reform must be balanced by an understanding of the
contexts and needs of diverse workers and learners. A framework for credible assessment with total transparency
should be developed to link training and incentives successfully. Training must be supplemented with shared vision
development, purposeful work and the empowerment of employees to improve organizational culture.

1.2. ELECTION COMMISSION TACKLING CRIMINALISATION OF POLITICS

Why in news?
Criminalization of Politics
The Election Commission recently decided to revise • It implies that the criminals are entering the election fray
the timeline for publicity of criminal antecedents by and contesting elections and even getting elected to the
candidates concerned and by the political parties Parliament and state legislature.
that nominate them for elections. • Post 2019 elections, 43% of Lok Sabha members face
criminal charges with 29% of them are facing serious
More on the News criminal charges such as murder, rape and kidnapping,
• As per the revised guidelines, the candidates as while 84% have self-declared assets worth more than Rs.
well as the political parties will publish the details 1 crore.
• Reasons for Criminalization: include- nexus between
of criminal antecedents, if any, in newspapers
the criminals and politicians, use of money and muscle
and television three times.
power in elections, delays in criminal justice system, lack
• Uncontested winner candidates as well as the of value-based politics, tolerance to criminal candidates,
political parties who nominate them shall also First Past the Post (FPTP) electoral system doesn’t
publicize the criminal antecedents, if any. discourage criminals from contesting elections etc.
• This timeline will help the voters in exercising • Impacts- law-breakers get elected as law-makers,
their choices in more informed manner. legislatures lose their credibility and legitimacy,
increased circulation of unaccounted money or black
Other steps taken by Election Commission (EC) to
money during and after elections, dilution in the probity
De-Criminalize Indian Politics in public life, increased levels of corruption, introduces
Election Commission of India has consistently a culture of violence in the society and sets a bad
undertaken certain electoral reforms on its own as precedence for the youth to follow.
well as at the direction of Supreme Court.

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• In 1997, EC directed all the Returning Officers (ROs) to reject the nomination papers of any candidate who
stands convicted on the day of filing the nomination papers even if his sentence is suspended.
• A system of flying squads has been introduced to seize black money during elections.
• It carried out a much more intense voter awareness campaign and even initiated a campaign using celebrities
exhorting voters not to sell their vote.
• Currently, a candidate to any National or State Assembly elections is required to furnish an affidavit, in the
shape of Form 26 appended to The Conduct of Elections Rules, 1961, containing information regarding their
criminal antecedents, if any, their assets, liabilities, and educational qualification.
o EC amended Form 26 to comply with a Supreme Court order that required candidates to fill up forms
provided by the Commission and state details of criminal cases pending against them.
Limitations of EC in tackling Criminalization
• Need of Large-scale infrastructure to monitor and ensure compliance: For example a Supreme Court order
made it mandatory for political parties to upload on their website detailed information regarding individuals
with pending criminal cases who have been selected as candidates, along with the reasons for such selection,
as also as to why other individuals without criminal antecedents could not be selected as candidates. To ensure
compliance of such directions, extensive human resources and robust digital systems are essential.
• No power to disqualify candidates prior to conviction: even if a person is facing several serious charges.
Section 8 of the RPA, 1951 deals with disqualification only after a person is convicted for certain offences.
• False affidavits: Matters of election false affidavits can have extremely serious consequences as it affects the
purity of elections. Lax punishments have not been able to deter this activity. Also false affidavit or suspension
of material information in the affidavit is not included as grounds for challenging the election or for rejection
of nomination papers section under RPA, 1951.
• Misuse of religion for electoral gain: While such practices are qualified as corrupt practices, they can be
questioned only by way of an election petition and cannot be a subject of enquiry before the EC when the
election is in progress.
o Ironically these provisions will have application only during the period of election and there is no provision
to challenge the corrupt practice of the candidate who lost the election.
o Moreover, the law enforcing authorities cannot proceed without a warrant issued by a competent
Magistrate to search or arrest any person even on specific information about the corruptive practice.
These provide the violators an opportunity to evade legal action.
Way forward
Election Commission and Law Commission have made the following recommendations to the Union Government
to be made into law in the form of electoral reforms for the decriminalization of politics:
• Proposed Amendments to RPA, 1951:
o Include conviction under section 125A as a ground of disqualification under section 8(1)
o Introduce enhanced sentence for filing of false affidavits of a minimum of two years under section 125A.
o Include the offence of filing false affidavit as a corrupt practice under section 123.
• Set up an independent method of verification of winners' affidavits to check the incidence of false disclosures
in a speedy fashion.
• Barring persons charged with cognizable offence from contesting in the elections, at the stage when the
charges are framed by the competent court provided the offence is punishable by imprisonment of at least 5
years, and the case is led at least 6 months prior to the election in question.
• Expediting trials in relevant courts where a case is led against a sitting Members of Legislatures and to conduct
the trial on a day-to-day basis with an outer limit of completing the trial in one year.
o If the trial cannot be completed within the said time period or the charge is not quashed in the said period,
the trial judge shall give reasons in writing to the relevant High Court.
o Once the said period expires:
▪ The person may be automatically disqualified at the end of the said time period.
▪ The right to vote, remuneration and perquisites of office shall be suspended at the end of the said
period up to the expiry of the House.

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• Retroactive application- from the date the proposed amendments come into effect, all persons with criminal
charges (punishable by more than 5 years) pending on that date are liable to be disqualified subject to certain
safeguards.
• Granting EC additional powers to make recommendations to the appropriate authority to-
o refer any matter for investigation to any agency specified by the Commission
o Prosecute any person who has committed an electoral offence under RPA, 1951
o appoint any special court for the trial of any offence or offences under RPA, 1951

1.3. KESAVANANDA BHARATI CASE

Why in news?
Evolution of Doctrine of Basic Structure
Recently, Kesavananda Bharati of landmark The ‘Basic Structure’ doctrine finds no reference in the
Kesavananda Bharati Sripadagalvaru and Others v Constitution. It evolved through various court judgments-
State of Kerala case passed away. • The SC in cases such as Shankari Prasad Case (1951) and
Sajjan Singh case (1965) had earlier held that Parliament
About the Kesavananda Bharati Case can amend any part of the Constitution including the FRs
• The case dealt with a petition against the Kerala using Article 368.
Government challenging the compulsory • Golaknath case (1967): In this case SC held that FRs
cannot be amended by the Parliament, implying that
acquisition of his land by the Government under
some features of the Constitution lay at its core and
the Kerala Land Reforms Act 1963, as a required much more than the usual procedures to change
violation of Fundamental Rights (FRs), as them. This laid the pathway for the ‘Basic structure
enshrined in - Articles 25, 26 and 31 of the doctrine’.
Constitution of India. • Kesavananda Bharati case (1973): The SC held that
• The case was heard by a Bench of 13 judges — Parliament can amend any part of the constitution
the largest formed in the Supreme Court (SC). including FRs, given that the "basic structure of the
• As hearing proceeded, the scope of the case was Constitution" is not disturbed.
expanded to address the following- • Evolution on case to case basis: The SC had since then
o interpretation of Golakhnath case strengthened and reaffirmed the doctrine and
elaborated on the principles that constitute the ‘Basic
o interpretation of the Article 368 (Power of
Structure’ of Indian Constitution, in several judgments
Parliament to amend the Constitution) such as- Indira Nehru Gandhi v. Raj Narain case (1975),
o the validity of the 24th Constitutional Minerva Mills case (1980), S.R. Bommai case (1994) etc.
Amendment Act, Section 2 and 3 of the • Some principles that are presently part of the ‘Basic
25th Constitutional Amendment Act and Structure’ are stated below-
29th Constitutional Amendment Act. o sovereignty of India
o essential features of the individual freedoms secured
Background
to the citizens
• In the Golaknath v. State of Punjab case, SC had o mandate to build a welfare state
held that- o supremacy of the Constitution
o Article 368 merely laid down the amending o republican and democratic form of government
o secular and federal character of the Constitution
procedure but did not confer upon
o separation of powers between the legislature,
Parliament the power to amend the executive and the judiciary
Constitution. o unity and integrity of the nation
o There is no difference between the o power of Judicial review
amending power and legislative powers of o harmony and balance between FRs and DPSPs etc.
Parliament and any amendment of the
Constitution must be deemed law as understood in Article 13 (2) (prohibits the state to make any law
taking away or abridging FRs). This essentially meant that FRs could not be amended by the parliament.
o To amend the FRs a new Constituent Assembly would be required.
• After the Golaknath case several constitutional amendments were made by the Parliament-
o 24th Amendment: It stated that-
✓ the constitutional amendments are not ‘law’ under Article 13, thus Parliament has the power to
amend any FRs.
✓ the Parliament has the power to amend any provision of the Constitution of India.

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 o 25th Amendment:
✓ Section 2 of the act curtailed the right to property, and permitted the acquisition of private property
by the government for public use, on the payment of compensation which would be determined by
the Parliament and not the courts.
✓ Section 3 gave precedence to ‘Directive Principles of State Policy (DPSP)’ over the FRs and took
away the scope of Judicial Review for policies laid down under several DPSPs (Articles 39 (b) and
39 (c)).
o 29th Amendment: It added two land reform legislations to the Ninth Schedule of the Constitution of
India (list of central and state laws which cannot be challenged in courts).
Outcomes of Kesavananda Bharati Case
• Upheld the validity of the 24th amendment: SC held that Parliament had the power to amend any or all
provisions of the Constitution (including FRs), with a condition that the amendments should not alter, damage
or destroy the essential features or the fundamental principles of the Constitution. This came to be known as
the “Basic Structure Doctrine”.
• Corrected judgments of the Golaknath case: SC held that Article 368 contained both the power and the
procedure for amending the Constitution and that amending powers and legislative powers of Parliament
were different.
• Other judgments: SC upheld the 25th and 29th Amendments except for the parts that curtailed its power of
judicial review and also asserted that the Preamble is a part of the Constitution and hence amendable.
Significance of the case
• It expanded the scope of judicial review, where the apex court was free to mould the ‘Basic Structure’ doctrine
to strike down any constitutional amendment that attacks the very spirit of the Indian Democracy.
• Despite the large number of amendments made to the Indian Constitution, the ‘Basic structure doctrine’
helped in preserving the integral philosophies of its framers.
• It created a check on Parliament’s endeavor to wipe out judicial review and strive for unconditional power to
amend the Constitution (through Constitution (42nd Amendment) Act, 1976).
• Also, it clarified the distinction in amending and legislative powers of Parliament and gave the Preamble its
righteous and integral position in the India constitution.

1.4. QUESTION HOUR

Why in News?
In the wake of the ongoing COVID-19 pandemic, Lok Sabha and Rajya Sabha suspended question hour and private
members' business during the last monsoon session of Parliament.
More on News
• As per revised schedule,
o Rajya Sabha would meet
between 9 am and 1 pm and Lok
Sabha between 3 pm and 7 pm.
o Zero hour has been cut short to
30 minutes.
o No Question Hour but MPs can
ask Unstarred questions.
o Short notice questions would be
allowed with oral answers in case
of urgency upon the discretion of
the Speaker/Chairman.
o No Private Members' business, hour set aside for bills put up by MPs.

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Question Hour
Zero Hour
• This is first hour of a sitting. It is during this • The time immediately following the Question Hour has come
MPs ask questions to ministers and hold to be known as "Zero Hour".
them accountable for functioning of their o It starts at around 12 noon (hence the name).
ministries. • Typically, discussions on important Bills, the Budget, and other
issues of national importance take place from 2pm onwards.
• Both Houses of the Parliament follow their
• Members wishing to raise matters during the “Zero Hour”
own set of rules which are formulated to
need to give notice to the Speaker prior to the start of the
govern themselves. daily session.
o At the beginning of Parliament in 1952, • Zero Hour is an Indian parliamentary innovation and unlike
Lok Sabha rules provided for Question Question Hour it is not mentioned in the Rules of Procedure.
Hour to be held every day. Zero hour has been in existence since 1962.
o Rajya Sabha, on the other hand, had a o It is not mandatory to have a Zero Hour every day during
provision for Question Hour for two the session.
days a week. A few months later, this
was changed to four days a week. Then from 1964, Question Hour was taking place in Rajya Sabha on
every day of the session.
o In 2014, Rajya Sabha Chairman Hamid Ansari shifted Question Hour in the House from 11 am to 12 noon
to prevent disruption of Question Hour.
• Parliament has categorized questions asked in the parliament in different types and they are:
o Starred Questions: The answers to these questions are desired to be given orally on the floor of the House
during the Question Hour.
o Unstarred Questions: The answers to these questions which are deemed to have been laid on the Table
of the House are given by Ministers at the end of the Question Hour in a written form.
o Short Notice Questions: These questions are asked orally in the House after the Question Hour or as the
first item in the agenda where there is no Question Hour at a notice shorter than that prescribed for
Starred and Unstarred Questions.
▪ These must be generally of public importance to a subject-matter considered by the Speaker/
Chairman on an urgent basis.
o Questions to Private Members: This Question is addressed to a Private Member (As per Rule 40 of the
Rules of Procedure and Conduct of Business in Lok Sabha), provided that the subject matter of the
question relates to some Bill, Resolution or other matter connected with the business of the House for
which that Member is responsible.
• When a member feels that the answer given to a question, Starred or Unstarred or Short Notice, is not
complete or does not give the desired information or needs elucidation on a matter of fact, he may be
allowed by the Speaker to raise a discussion in the House for half an hour. The procedure is, therefore, termed
as ‘Half-an-Hour Discussion’.
• Before asking a question in the
parliament, the member has to give a 15- Suspension of Question Hour in Past
day notice to the Chairman/Speaker in a Question hour was done away with in the years 1962, 1975, 1976,
prescribed manner. Such a period can be 1991, 2004 and 2009 for various reasons.
• Question Hour was first dispensed with was due to India-China
reduced at the discretion of the
war during the winter session of 1962. Similarly, in the 1971
Chairman/Speaker. winter session, it was suspended due to the war with Pakistan.
• The permissible limit with respect to the • During the Emergency, parliament functioned without the
question are only five a day per member Question Hour for two sessions – monsoon session of 1975 and
in Lok Sabha and seven per day in Rajya winter session of 1976.
Sabha.
Significance of question hour
• Fulfill the objectives of the parliamentary democracy: Basic concept of the parliamentary governance is that
it owes a collective responsibility towards the parliament. Question hour obliges the government to be
responsible and accountable.
o Question Hour gives space for MPs from both the ruling and opposition parties. MPs from all parties can
ask questions.

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• Generate public awareness: A question and discussion on an issue leads to greater public notice as the
information reaches to the far ends of the nation.
• Formulate public policy: Government gets to know the short comings and flaws in the policy and also certain
clarifications are also done and the reasoning and aim behind the policy or law is clarified by the government.
• Limit judicial intervention: Lack of parliamentary oversight has been compounded by judicial intervention in
many policy issues. For example, the government’s actions related to the lockdown and the hardships caused
to migrants should have been questioned by Parliament. However, this was taken to the Supreme Court, which
is not equipped to balance policy options.

1.5. ASPIRATIONAL DISTRICTS PROGRAMME

Why in news? • Institute for Competitiveness, India is an
Recently, an assessment report of Aspirational Districts international initiative centred in India,
dedicated to enlarging and purposeful
Programme was released jointly by Institute for Competitiveness
disseminating of the body of research and
(IFC) and Social Progress Imperative.
knowledge on competition and strategy. It
About Aspirational Districts Programme (ADP) was the knowledge partner of the NITI
Aayog in recently released India Innovation
• ADP was launched by the GOI in January 2018 to accelerate Index (III) 2019.
improvement in the socio-economic indicators of the most • Social Progress Imperative is a US-based
underdeveloped districts of the country. non-profit organisation which publishes
• Currently, the programme has been implemented in 112 of The Social Progress Index (SPI) that
India’s 739 districts including 35 Left Wing Extremism (LWE) measures the extent to which countries
affected regions spread across the country. provide for the social and environmental
needs of their citizens.
• The programme is driven by the following ideas that signal
a shift in the approach of the government towards policy and governance:
o Moving Beyond Economic Measures of Success
o Enabling Equitable Regional Development
o Driving Change through Cooperative and Competitive
Federalism
• The programme focuses on practical and measurable social
progress outcomes, in six main themes that directly impact
the quality of life as well as the economic productivity of
citizens. These are- Health and Nutrition, Education,
Agriculture and Water Resources, Financial Inclusion, Skill
Development, and Basic Infrastructure. These are further
broken down into 49 indicators.
• The programme is based on three core principles, which are
encapsulated in the 3Cs Approach
– Convergence (among State and Central Government
initiatives at the district level), Collaboration (among
citizens and functionaries of Central & State Governments
including district teams), and Competition (among districts).
• Basic Structure of the programme:
o At the Central level, NITI Aayog is anchoring the
programme and individual Ministries have assumed
responsibilities to drive the progress of the districts.
o The state governments are the main drivers of change. Each state has formed a committee under their
respective Chief Secretaries to implement as well as track the programme.
o For each district, a central Prabhari Officer of the rank of Additional Secretary/ Joint Secretary has been
appointed to provide feedback and recommendations based on their local level findings.
• Under the programme, NITI Aayog releases Delta Ranking that ranks districts based on the monthly
improvement achieved in the six focus areas through the Champions of Change dashboard (an online
Dashboard).

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Findings of the report
• Disparities across sectors are high: Health and Education are the
sectors in which the districts are closest to achieving their targets.
While Agriculture and Financial Inclusion are the main areas of
concern where most of the districts are 40-90 percent away from
their targets.
• ADP is generating economic as well as social impact: In Health and
Nutrition, for example, the economic impact of reducing Severe
Acute Malnutrition (SAM) among children is felt through the effects
on productivity and lifetime learning. The overall economic impact
for all the states (only looking at Aspirational Districts) of reducing
SAM is estimated to be a mammoth Rs.1.43 lakh cr.
• Aligning the objectives of ADP with that of SDGs is crucial to
establish a time-bound assessment framework. The ADP and
Sustainable Development Goals (SDGs) both emphasise on the
provisioning of basic services through sustainable means to the most marginalised communities and people.
The objectives of ADP align with the spirit of
SDG 10 to reduce various forms of Existing challenges with ADP
• Insufficient budgetary resources.
inequalities.
• Multiple ministries leading to a lack of coordination.
• Concrete best practices are emerging from
• Lack of high-quality administrative data impacting
the programme: Three key areas of best implementation and design at the local level.
practice have emerged from the ADP • The Delta rankings are largely focused on assessing
programme are Awareness (several districts quantity (that is, coverage of access) rather than quality.
have used awareness campaigns to reach out
to populations which have been detached from the development process) Collaboration (between tiers and
agencies of government and with the private and civil society sectors) and Data-based interventions (the use
of data to measure impact, locate nodes for improvement, as well as to identify policies and interventions).
Best Practices across districts
• Health and Nutrition:
o Hailakandi (Assam): an innovative practice of gifting 5 saplings (coconut, litchi, assam lemon, guava, amla) to the
parents of a new born girl child. The rationale being that the fruit from the trees can be used to feed the child,
which would help in building immunity and warding off malnutrition.
• Education:
o Rajnandgaon (Chattisgarh) has ensured access to sanitation facilities for every girl child, for which toilets were
installed in schools.
o Banka (Bihar) has launched a programme, ‘Unnayan Banka – Reinventing Education using Technology’, which is
an effort to leverage technology to improve the learning environment.
• Financial Inclusion domain:
o Gajapati (Odisha): mini banks have been opened under Odisha Livelihood Mission in panchayats that did not have
banking facilities. These mini banks also functioned as common service centres and bank accounts of 27,463 SHG
members were opened, while 23000 were linked with Adhaar.
• Agriculture and water resources:
o Kupwara (Jammu and Kashmir) introduced high density farming to improve agricultural productivity and make
optimum utilisation of resources. The traditional seedling-based orchards were converted into high density
orchards. This gave the producers success in cultivation of crops such as apples and walnuts and increased the
harvest by up to three times.
• Skill Development:
o Gajapati (Odisha) started enrolment of people for skill development under Deen Dayal Upadhyaya Grameen
Kaushalya Yojana (DDU-GKY). As a result of the efforts, 11,600 candidates were mobilised, and over 450 were
trained in different crafts.
• Basic infrastructure:
o Kupwara (Jammu and Kashmir), a network of 176 water-harvesting tanks was strengthened that has aided in
enhancing farmers income through water conservation.
o Dahod (Gujarat), installation of solar powered community tube wells has benefitted a hundred households across
five villages.

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Recommendations given by the study
• Streamlining data collection and ensuring effective feedback loop: a more real-time mechanism of data
collection and dissemination is needed as currently, there is a gap of a few months between survey collection
and accessibility of the data by districts.
• Updating plan of action based on new learnings: The districts can modify the learnings made from these best
practices based on their local requirements across different parameters and assessment of districts should be
done based on the standing of comparative peer groups.
• Engaging in customised local level interventions:
o Collaboration with the individual local functionaries opens the door for the introduction of community-
based intervention models, which facilitates stakeholder participation. For instance, women-driven
institutions such as Self-Help Groups and Anganwadis have been particularly crucial in the delivery of
schemes.
o Involving young professionals within grass-root administration that promotes continuity of engagements.
• Focused interventions with higher degrees of intensity are required in the north eastern part of the country
owing to its specific niche challenges.
Conclusion
• Uneven distribution of economic gains across regions and individual citizens has only served to highlight the
need for a broader agenda aimed at inclusive growth and social progress.
• By focusing on “what works” in advancing inclusive growth and social progress, ADP has the potential to serve
as a model for India’s future economic and social development strategy.

1.6. IMPORTANT DATA - CRIME IN INDIA 2019 REPORT

Why in news?
National Crime Record Bureau’s “Crime in India” 2019 report was released.
Key findings
• Crimes against women
o Increased 7.3 per cent from 2018 to 2019.
o Majority of cases under crime against women were registered under ‘cruelty by husband or his relatives’.
o Highest number of crimes against women were reported in Uttar Pradesh (UP), followed by Rajasthan
and Maharashtra.
o Highest rate of crime (cases per lakh population) against women were reported in Assam, followed by
Rajasthan and Haryana.
• Caste based violence
o Crimes against Scheduled Castes (SC) went up 7.3% from 2018 to 2019.
o UP reported most cases against SCs (accounting for 25.8% of the cases across the country) was followed
by Rajasthan and Bihar.
o Highest rate of crimes against SCs were reported in Rajasthan followed by MP and Bihar.
• Offences against the state
o Decreased by 11.3% from 2018 to 2019.
o Of these, 80.3% were registered under Prevention of Damage to Public Property Act, followed by
Unlawful Activities (Prevention) Act.
• Cybercrimes
o Registered a 63.5% jump over 2018 to 2019.
o 60.4% of cybercrime cases registered were for the motive of fraud, followed by sexual exploitation.
• Crime against Scheduled Tribes saw an increase of 26% from 2018 to 2019.
• Crimes against children increased by 4.5% from 2018 to 2019.
• There has been 1.6% increase in registration of cases from 2018 to 2019.
About NCRB
• NCRB was set-up in 1986 to function as a repository of information on crime and criminals so as to assist the
investigators in linking crime to the perpetrators.

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 • It was recommended by Tandon Committee, National Police Commission (1977-1981) and the MHA’s Task force
(1985).
• NCRB is entrusted with the responsibility for monitoring, coordinating and implementing the Crime and Criminal
Tracking Network & Systems (CCTNS) project.
• NCRB is headquartered in New Delhi and is part of the Ministry of Home Affairs.
• The first edition of 'Crime in India' pertains to the year 1953 and the latest edition of the report pertains to the year
2019.
o This report captures crimes registered under the Indian Penal Code and Special and Local Laws.
• Its publications include:
o Accidental Deaths & Suicides in India
o Prison Statistics India
o Finger Prints in India
o Report on missing women and children in India
Key Objectives of NCRB
• To function as a clearing house of information on crime and criminals including those operating at National and
International levels.
• To store, coordinate and disseminate information on inter-state and international criminals from and to respective
States, national investigating agencies, courts and prosecutors in India.
• To provide training facilities to personnel of the Crime Records bureau.
• To function as the National storehouse of fingerprint (FP) records of convicted persons including FP records of foreign
criminals.
• To advise Central and State Governments on matters related to fingerprints and footprints, and to conduct training
courses for finger print experts.

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2. INTERNATIONAL RELATIONS
2.1. RISE OF THE MINILATERALS
Why in news?
About Indo- Pacific
India recently conducted a virtual trilateral dialogue with • The Indo-Pacific is a geopolitical construct which
France and Australia. represents an integrated theatre that combines
the Indian Ocean and the Pacific Ocean, and the
More on the News land masses that surround them.
• The focus of the dialogue was on enhancing • It has gained relevance in the recent times due
reasons such as presence of important sea lines of
cooperation in the Indo-Pacific Region.
communication, maritime security concerns, rise
• Topics of Discussion of Asian Economy and China’s aggressive military
o Economic and geostrategic challenges and and foreign policy.
cooperation in the Indo-Pacific, particularly in the • Several regional and extra regional countries like
context of the COVID-19 pandemic and domestic India, Japan, USA, Australia, France etc have
responses to COVID-19. released policies focused on the Indo-Pacific
o Cooperation on Marine Global Commons and acknowledging the strategic shift towards the
potential areas for practical cooperation at the region.
trilateral and regional level, including through Related News: Germany adopts an Indo-Pacific policy
regional organisations such as ASEAN, Indian • Germany recently adopted a policy for the Indo-
Pacific centred round greater security and
Ocean Rim Association (IORA) and the Indian
economic cooperation.
Ocean Commission.
• Through its policy Germany aims to strengthen
o Priorities, challenges and trends in regional and relations and to expand cooperation with Indo-
global multilateral institutions, including the best Pacific countries in the areas of multilateralism,
ways to strengthen and reform multilateralism. climate change mitigation, human rights, rules-
• Objective of the meeting: Building on the strong based free trade, connectivity, the digital
bilateral relations that the three countries share with transformation and, in particular, security policy.
each other and synergising their respective strengths
to ensure a peaceful, secure, prosperous and rules-based Indo-Pacific Region.
• The three sides agreed to hold the dialogue on an annual basis.
While bilateral and multilateral dialogues, such as India’s 2+2 Dialogues with Australia, Japan, and the United
States, Quad etc, are common phenomena in the Indo-Pacific, the recent times have seen emergence of
‘minilaterals’. There is already an India-U.S.-Japan trilateral and also an India-Australia-Indonesia trilateral is
taking shape.
Factors responsible for the rise of Minilaterals
• Easier to strike convergence in interests: Smaller partnerships can focus on specific mutual objectives and
goals.
• Strategic rationale: The India-France-Australia trilateral is a natural fit for all three because of their stake in
ensuring a free, open and inclusive Indo-Pacific order.
• Moving beyond uncertainties created by certain partners: Partners of larger groupings might find in their
interest to move to smaller partnerships to overcome uncertainties created by specific partners. For example-
unpredictability of American policies.
Indian Ocean Rim Association (IORA)
• Seeking Informal dialogues: Trilaterals are an
• The IORA is an inter-governmental organization of
effective way to discuss emerging issues in a flexible countries bordering the Indian Ocean.
manner without establishing rigid commitments • It consists of 22 Member States, including India, and
and going through lengthy formal negotiations. 10 Dialogue Partners.
• Overcoming challenges pertaining to Indian Ocean Commission (IOC)
multilateralism and multilateral institutions: • It is an intergovernmental organization that links
o Polarization and ideological infighting: African Indian Ocean nations: Comoros, Madagascar,
Multilateral institutions/groupings are often led Mauritius, Réunion, and Seychelles.
by a few influential leaders. This increases the • India is an observer at IOC.

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 probability of creating fissures on the lines of differences in ideologies or particular issues, which leaves
little or no space for addressing individual standpoints.
o Reverse globalization and rise in protectionist tendencies: Countries have started looking inwards and
find it difficult to cooperate on multilateral platforms beyond their national interests.
o Institutional sclerosis: It is a phenomenon where institutions fail to adapt and change at a sufficient pace.
Existing Multilateral institutions are facing difficulties to address new and emerging global challenges such
as climate change, data privacy, cyber security etc.

2.2. BAY OF BENGAL INITIATIVE FOR MULTI-SECTORAL TECHNICAL AND

ECONOMIC COOPERATION (BIMSTEC)
Why in News?
BIMSTEC Secretariat has finalized BIMSTEC charter after 23 years of its inception.
More in News
• Charter is due to be signed in fifth summit, scheduled for
January next year at Sri Lanka.
• Charter is expected to
o define a long-term vision and priorities for cooperation,
o clearly delineating roles and responsibilities of different
layers of institutional structure and
o define decision-making processes.
• In absence of a dedicated charter, BIMSTEC is running with
the spirit of Bangkok Declaration of 1997 which:
o is not comprehensive in nature.
o does not account for the changed geo-political scenario
as it was signed way back in 1997..
About BIMSTEC
• BIMSTEC was established in 1997 as BIST-EC with four countries: Bangladesh, India, Sri Lanka and Thailand.
• It was named BIMSTEC in 2004 after Myanmar (1997), Nepal (2004) and Bhutan (2004) joined it.
• 1st Summit meeting was held in Bangkok in 2004.
• Its Secretariat is located in Dhaka, Bangladesh.
• BIMSTEC region is home to around 1.5 billion people which make up for around 22% of the world’s population.
The region has a combined gross domestic product (GDP) of $2.8 trillion.
• Founding principles: cooperation within BIMSTEC will be based on respect for the principle of sovereign
equality, territorial integrity, political independence, non-interference in internal affairs, peaceful co-existence
and mutual benefit.
• Areas of Cooperation: BIMSTEC has identified 14 priority areas where a member country takes lead.
o India is lead country for Transport & Communication, Tourism, Environment & Disaster Management and
Counter Terrorism & Transnational Crime.
o The charter recategorizes the cooperation in 14 fields to 7 sectors:
✓ Trade, Investment & Development,
✓ Environment and Climate Change,
✓ Security,
✓ Agriculture and Food Security,
✓ People-to-People Contact,
✓ Science, technology & Innovation,
✓ Connectivity.
Significance of BIMSTEC for India
• Economic: BIMSTEC is fast becoming a significant trade bloc in Asia-Pacific. Its intra-regional trade is
significantly higher than many other economic groupings in Asia-Pacific region except perhaps EAEG (East Asia
Economic Grouping) and ASEAN (Association of South East Asian Nations).

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 o Bay of Bengal is the route for about 25 per cent of global trade and has huge untapped natural resources
such as natural gas.
• Accelerate integration of South Asia: With SAARC proving to be a “dysfunctional” grouping due to the bilateral
dispute between India and Pakistan, BIMSTEC as a subregional grouping of South Asia provides an opportunity
for India to integrate South Asia without Pakistan.
o South Asia is one of the most densely populated but poorly integrated regions in the world. Its intra-
regional trade is less than 5% of the total trade of South Asian countries.
• Connecting South Asia and Southeast Asia: BIMSTEC is a bridge between South Asia and Southeast Asia.
Leveraging BIMSTEC, India focus on connectivity projects in and around the Bay of Bengal region.
o India has already invested in the India-Myanmar-Thailand Trilateral Highway, the Kaladan Multimodal
Transit Transport Project and the BIMSTEC Motor Vehicle Agreement.
o Physical connectivity with BIMSTEC would also help India integrate itself with ASEAN’s Master Plan of
Connectivity 2025.
o All the members (except Sri Lanka) are connected by land, providing a stronger potential for greater
connectivity among them.
• Development of North eastern region: A successful BIMSTEC Free Trade Agreement (FTA) can be instrumental
in developing India’s North Eastern region as a commercial and business hub for Southeast Asia.
o The two Southeast Asian countries in the grouping, Myanmar and Thailand, have a crucial place for India’s
ambitious connectivity plans for northeastern region.
o Sittwe port in Myanmar is closer to the northeast region than Kolkata.
• To counter Chinese influence: China’s influence and presence in India’s neighbourhood has grown enormously
through its Belt and Road Initiatives. India, through its economic engagement with Bay of Bengal littoral states
will restrict Chinese influence in these countries.
• Energy security: BIMSTEC region has huge untapped reserve of natural gas, the future of power supply.
o India, along with other BIMSTEC countries, is exploring energy opportunities at the Rakhine coast of
Myanmar in the northern part of the Bay of Bengal.
Challenges with BIMSTEC
• Lack of political will: Dormancy that has beset the organisation for two decades is largely due to absence of
effective and sustained political will among member countries.
o Since 1997, BIMSTEC leaders met only four times at the summit level.
• BIMSTEC FTA: BIMSTEC adopted a framework to negotiate an FTA in 2004 and covered the following: (i) tariff
concessions on trade in goods; (ii) Customs cooperation; (iii) trade in services; (iv) investment cooperation;
and (v) dispute settlement. However, little progress was achieved in this regard.
• Regional geopolitics: There are concerns over regional geopolitics coming in the way of future projects.
o This is evident from Nepal and Thailand not participating in the first BIMSTEC anti-terror military exercise
conducted at Pune in India in 2018. The proximate reason for the non-participation of these countries was
their reluctance to convey the impression to China that BIMSTEC might evolve into an anti-China military
forum.
• Perception of Indian hegemony: Forum has the impression that it is an India-dominated bloc, a problem that
India faced for a long time in SAARC too.
o Bangladesh often fear that whenever India discusses connectivity, it means benefits only for India. Such
fears & apprehensions question the basic fabric of BIMSTEC and foster mistrust, thus blighting any
prospect of free movement of goods.
o However, due to changing geo-economics, most of the smaller neighbours today are more willing to
engage India due to its economic rise. India needs to proactively engage them and show sensitivity to
their concerns.
• Physical Infrastructure: BIMSTEC region is marred by poor road and rail connectivity, insufficient last-mile
links and cumbersome customs and clearance procedures which hamper trade. Physical infrastructure is
essential for linking the region not only in terms of boosting connectivity and trade but also for facilitating
people-to-people interactions.
• Absence of strong institutional framework: BIMSTEC Secretariat, established in 2014 at Dhaka, has been
unable to adequately contribute to the development of the organisation, and its negligible budget affects its
capacity to perform a basic convening function.

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Way Forward
• BIMSTEC should focus less on geo-politics and more on common regional concerns of economic and social
development.
• Conclude FTA as early as possible. FTA can help in deepening cross-border production links among members
and generate new value chains
• To make BIMSTEC further lucrative, there is a need for increasing its membership base. BIMSTEC should
consider expanding its membership to Indonesia, Malaysia, and Singapore - the three major Asian powers
• Prioritize sustained physical connectivity and high-quality infrastructure, to facilitate greater regional flows
of goods& services.
• Empower the BIMSTEC secretariat with greater financial resources enabling it to proactively drive the
organization’s agenda.

2.3. INTERNATIONAL CRIMINAL COURT

Why in News?
Recently, US President has authorized economic sanctions against officials of the International Criminal Court (ICC)
for their investigation into alleged war crimes by U.S. forces and the Central Intelligence Agency (CIA) in
Afghanistan since 2003.
About ICC
• ICC is a permanent international court established to investigate, prosecute and try individuals accused of
committing the most serious crimes of concern to the international community as a whole, namely the crime
of genocide, crimes against humanity, war crimes and the crime of aggression.
• It was established by the Rome Statute of the International Criminal Court in 1998.
o Court has jurisdiction only over crimes committed after July 1, 2002, when the Rome Statute entered into
force.
• There are 123 countries party to the Rome Statute.
o Countries which never signed the treaty: India, China, Iraq, North Korea, Saudi Arabia, Turkey etc
o Countries signed but not ratified the treaty: includes Egypt, Iran, Israel, Russia, United States etc
o Burundi and the Philippines joined the ICC but later withdrew.
• ICC does not replace national criminal justice systems; rather, it complements them.
• Cases come before the court in following ways:
o a member country can refer a situation within its own territory to the court;
o UN Security Council can refer a situation;
o prosecutor can launch an investigation into a member state proprio motu, or “on one’s own initiative.”
Limitation of ICC Principal objections of India to the Rome Statute
• Disproportionately • Extraordinary privileges given to the UNSC to make referrals to the Court.
o This made the ICC subordinate to the UN Security Council, and thus in
targeting the African
effect to its permanent members, and their political interference.
continent: Of the court’s • Blurred the legal distinction between normative customary law and treaty
more than two dozen cases, obligations, particularly in respect of the definitions of crimes against
all have dealt with alleged humanity and their applicability to internal conflicts.
crimes in African states. o India wanted a stricter complementarity regime whereby the Court
o In 2016, the African would complement national jurisdiction only in exceptional situations
Union backed a proposal when the judicial system in a State was non-existent or unable to deal with
led by Kenya for a mass crimes within the Court’s jurisdiction.
withdrawal. • Refused to designate of the use of nuclear weapons and terrorism among
• Lack of participation by crimes within the purview of the ICC, as proposed by India
• Power to initiate cases on his/her own volition given to the ICC Chief
three permanent members
Prosecutor.
of the UN Security council:
China has not signed the Rome Statute, and neither the United States nor Russia has ratified it. This lack of
participation hinders the ability to enforce the laws instituted by the court.

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• Imposition of certain principles:
ICC is criticised for attempting to
transpose principles of liberal
democracy to all states, and to
impose ‘one-size-fits-all’
solutions in order to provide
international justice.
• Jurisdiction of the ICC over
internal conflicts: There is a
concern that ICC could misuse its
jurisdiction for political purposes
o India wanted war crimes to
not include acts committed in
the context of an armed
conflict not of an
international character.
• Lack of support: Court has to face
a lack of support from all states in
the world, and the absence of
systematic cooperation by states
parties to its Statute.
o Court does not have its own
police force. Accordingly, it
relies on State co-operation,
which is essential to the
arrest and surrender of
suspects.
• Biased character: ICC has been
accused of being a tool of
Western imperialism and biased
in favour of powerful countries
against weak states.
o Also, there are instances where court had targeted some individuals, but neglected others equally well
known for their violence and crimes.
o In the Democratic Rrepublic of Congo (DRC) and Uganda, it has only acted against rebels or members of
the opposition, whereas a UN envoy said that government troops in the DRC might have committed
crimes.
Way Forward
• The court needs to expand its focus beyond Africa.
• ICC must focus on fairness, local justice and international social justice in order to improve its legitimacy and
work.
• In order to improve the impact of the ICC, its members have a crucial role to play in supporting the Court to
provide international justice
• Prosecutor must start pursuing party in positions of power in those countries that invite him in or in which
he chooses to investigate.
o Government leaders shouldn't think that by calling in the ICC they can use it as a tool against their
opponents, and avoid rigorous scrutiny themselves.
• To enhance its credibility the court needs to broaden its ambit by including more permanent members of UN
and by strengthening of investigations and prosecutions.

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2.4. AFGHAN PEACE PROCESS
Why in news?
Recently, intra-Afghan peace talks held for the first time between Afghan government and Taliban in Qatar.
About Afghan peace process
• The Afghan peace process comprises the proposals and negotiations in a bid to end the ongoing war and
conflict involving the Taliban in Afghanistan.
• Negotiations and the peace movement intensified
in 2018 amid talks between the Taliban and the US.
• In February, 2020, US president has struck a peace
deal with the Taliban on the issues of
counterterrorism and the withdrawal of U.S. and
international troops. The intra-Afghan talks were
part of the deal.
• Though the deal was to be held in march-April 2020,
it got delayed due to disagreement on mutual
release of prisoners by both Taliban and Afghan
Government.
Background of Afghan-Taliban issue
• The Taliban emerged in the early 1990s following
the withdrawal of Soviet troops from Afghanistan,
before the demise of the Soviet Union.
• It ruled Afghanistan from 1996 to 2001 imposing a
brutal version of Sharia law that included public executions and amputations, and the banning of women from
public life.
• Following the September 11 terrorist attacks on the United States (US) in 2001, the U.S., together with
its NATO allies led a military campaign against Al Qaeda and the Taliban government in Afghanistan that
harboured and supported it.
• The US has about 14,000 troops in Afghanistan, to train, advice and assist Afghan forces to oversee military
operations in the country so as to prevent any resurgence of the Taliban group.
• The US engagement has continued for nearly 20 years, but
Four objectives of the US- Taliban Peace
without a clear victory over the Taliban. The war has become the
Deal
longest-ever military engagement of the US involving heavy • An end to violence by declaring a
human and economic cost. The number of civilians, mostly ceasefire.
women and children, killed or injured by airstrikes in Afghanistan • An intra-Afghan dialogue for a lasting
has risen 39% year on year. peace.
• In the intervening time, an elected Afghan government has • The Taliban cut ties with terrorist
replaced the Taliban, and most measures of human organisations such as al Qaeda.
development have improved. But approximately a third of • U.S. troop withdrawal by April 2021.
Afghanistan is still a "contested" area.
Concerns Ahead
US’s current policy of withdrawing from Afghanistan also comes with apprehension that it may further embolden
Taliban’s aspirations for a bigger role in Afghan politics and may lead to more chaos in Afghanistan. The Taliban’s
inflexibility within Afghanistan over sharing power with other groups is a source of concern for regional actors.
• Violence continuing unabated: In the first six months of 2020, almost 1,300 civilians, including hundreds of
children, and more than 3500 Afghan National Defense and Security Forces have been killed in Afghanistan,
according to the United Nations.
• Threat to human rights: There are serious concerns considering the Taliban’s track record in relation to human
rights, especially violence against women and Shi’as and Hazaras was widespread under the Taliban regime.

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 o The Taliban wants to reimpose its version of Islamic law as the country’s system of governance. The armed
group has, however, given vague comments on adopting a less strict stance towards women and social
equality than during their 1996-2001 rule.
Way forward for India
• India reiterated its long-held support for an “Afghan-led, Afghan-owned, and Afghan-controlled” peace
process. India’s vision of a sovereign, united, stable, plural and democratic Afghanistan is one that is shared
by a large constituency in Afghanistan, cutting across ethnic and provincial lines.
• It has been India’s stated policy that it will not engage with the Taliban, as it continues to see the
fundamentalist group as being aided by Pakistan. However, India’s engagement with an ascendant Taliban,
is important for a number of reasons:
o Growing international legitimacy and credibility of Taliban: A noticeable change in the Taliban’s external
engagement can be seen in its links with Pakistan and also with its erstwhile adversaries, especially Iran
and Russia, and its contact with China.
o Establishing diplomatic contacts with a politically empowered Taliban will be crucial to safeguard New
Delhi’s existing and future economic interests in the country, including those linked with Central Asian
energy markets and broader connectivity projects for example- Chabahar Port.
o An amicable relationship with the Taliban will provide India with some leverage over Afghanistan’s
future, which it will use to offset Pakistan’s efforts
The interests of different countries
aimed at sabotaging Indian stakes in the country.
▪ The militant arm of the Taliban—the Haqqani Pakistan: Once the mainstay of the Taliban, in the
network—continues to be staunchly anti- aftermath of the 9/11 terrorist attacks Pakistan joined
the US ‘War on Terror’, a U-turn from its previous
India and maintains close ties with Pakistan’s
position on the Taliban. While Pakistan did re-
Inter-Services Intelligence, carrying out establish links with the Taliban in subsequent years,
operations targeting Indian nationals in the until recently, many of their dealings were covert.
region.
Russia and Iran: Before 2001, Russia and Iran
▪ Another security threat has been the growing supported the National United Front, also known as
presence of the Islamic State-Khorasan in the Northern Alliance, against the Taliban. Despite
Afghanistan and surrounding areas, which may this, in recent years, the Taliban has initiated
absorb splinter groups that emerge from a engagement with Russia and Iran. The Taliban has
locally fractious Taliban and other groups. proven itself a capable force against the Islamic State-
Khorasan Province (the Islamic State’s Central Asian
Conclusion
province known as IS-K), whose emergence is of
An inclusive peace process, involving the meaningful concern to both Iran and Russia.
participation of women, youth and victims, upholding the China: Engagement with China is critical for the
human rights of every Afghan is the only path to peace. Taliban to enhance its diplomatic reach in the region.
While each country seeks to align its engagement policy to The Afghan government has sought China’s support to
its respective strategic objectives, the overarching goal for encourage the Taliban and Pakistan to engage in
all is peace in Afghanistan. A consensus among major peace talks, but China’s efforts for peace and intra-
international stakeholders about how to deal with the Afghan talks have failed to achieve substantive results.
Taliban is of utmost importance.

2.5. DATA FREE FLOW WITH TRUST (DFFT)

Why in news?
India recently refused to become a signatory to the Osaka declaration on digital economy which proposes the
concept of Data Free Flow with Trust (DFFT).
About DFFT
• It aims to eliminate restrictions on cross-border transfer of information by electronic means, including
personal information, and storing data in foreign servers, for productivity, innovation and sustainable
development.
• It also stresses on the importance of addressing challenges such as security, data protection and intellectual
property that otherwise mar public trust in digital technologies.

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Need for DFFT About Osaka Declaration on Digital Economy
• Lack of international framework to resolve cross-border • The declaration was signed at the sidelines of
data conflicts: Recent times have seen a rise in conflicts the G20 summit in 2019, by some G20
leaders and other countries who are
arising over a myriad of issues related to data flows, such
currently participating in the informal
as free speech, intellectual property, privacy, cybercrime, plurilateral negotiations on e-commerce at
consumer protection, taxation, commercial regulation, and the World Trade Organization.
others. • It announced the launch of the ‘Osaka Track’,
• Impact on ease of doing business: Regulatory conditions a process that aims to intensify efforts on
or requirements on transferring data, and data localization international rule-making on digital
policies can force exporters to build or lease data centres economy, especially on data flows and e-
in every country of operation. Doing so can impose commerce, while promoting enhanced
prohibitively high compliance and entry costs. protections for intellectual property,
personal information, and cybersecurity.
• Emergence of anticompetitive, trade-distorting actions by
• The Osaka Track is inspired on the idea of
digital giants: due to conflicting policies and lack of
‘Data Free Flow with Trust (DFFT)’ proposed
comprehensive frameworks for managing data flows. by former Japanese Prime Minister Shinzo
• Moving towards “Society 5.0”: It underscores how Abe at the World Economic Forum 2019,
digitalization could tackle today’s social challenges and aiming to eliminate restrictions on cross-
usher in broader transformation by optimizing societal and border data flows.
welfare systems. For example-
o Data reuse and sharing between government entities can tackle ageing society and public health
challenges with more accurate preventive care, mitigating increasing costs.
o Efficient and open access to data are essential for tracking and enabling the delivery of many UN
Sustainable Development Goals.
• Significance for digital economy: Digital economy, supported by data flows, makes up a sizeable portion of
global economic activity. Current data flow restrictions and data localization requirements of some countries
lower their GDP by up to 0.4% and 1.7%, respectively, depending on the economy and severity of the measure.
Concerns for India
• Lack of Clarity: Concept of DFFT is neither well-understood nor is comprehensive enough in the legislation of
many countries.
• Need to preserve the policy space of developing countries: India, like many other developing countries, is still
in the phase of preparing a legal and regulatory framework for its data protection and e-commerce laws. India
needs a policy space to finalize laws around digital trade and data as it is a potent tool for development.
• Implications on equitable access of data: The existing regulations on which DFFT is sought to be premised,
such as uninhibited cross-border flow of data, may be inadequate to address India’s concerns on data access
and could further aggravate the digital divide between countries.
• Apprehensions over discussions outside the World Trade Organization (WTO): The Osaka Track could
undermine multilateral and consensus-based talks on e-commerce taking place under the WTO Work Program
on Electronic Commerce.
o The WTO Work Programme on Electronic Commerce covers issues related to trade arising from global e-
commerce. Some of these issues include the protection of privacy and public morals and prevention of
fraud, access to and use of public telecommunications transport networks and services, rules of origin etc.
• Impact on national policies and laws: India finds Data localization significant on the ground of national
security, to prevent foreign surveillance and attacks. India’s data localization rules could be undermined by
the DFFT.
o For instance, Reserve Bank of India directive requires payment companies to localise financial data. Also,
the Personal Data Protection Bill, 2019 places certain restrictions on transfer of data outside India.
Way Forward
• Encouraging engagements on WTO: Any reforms related to data flows must be in accordance with the core
WTO principles of consensus-based decision-making, multilateral agreed rules, and an impartial and
independent functioning of the dispute settlement body.

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• Providing adequate support to developing nations: Capacity constraints in developing countries need timely
support of training, and creation of digital infrastructure for facilitating a level playing field in the digital
economy and to take equitable advantage of data free flows.
• Some principles and policies that can be followed to strengthen existing data frameworks:
o Holding firms accountable for managing data they collect, regardless of where it is stored or processed.
It will enable local accountability and interoperability.
o Developing an accountability-based approach to ensure that firms provide timely access to data in
response to requests for data from financial regulatory authorities.
o Revising inefficient processes and outdated legal agreements that govern law enforcement requests for
access to data stored in another country’s jurisdiction.
o Establishing international rules for transparency, settling questions of jurisdiction, and increasing
cooperation and coordination of cross-border requests from law enforcement.
o Developing legal and administrative frameworks for restricting illegal distribution and use of unlicensed
content.
o Supporting encryption for securing data flows and digital technologies
Conclusion
Given the critical role played by data, as an enabler of economic growth, development and social well-being, any
reforms related to cross border data flows must preserve core values and fundamental principles such as non-
discrimination, inclusiveness, recognition of special and differential treatment, and consensus-based decision
making.

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3. ECONOMY
3.1. AGRICULTURAL REFORMS
Why in news?
Recently, the Government of India passed three Acts with an aim to reform agriculture in India, namely- The
Farmers' Produce Trade and Commerce (Promotion and Facilitation) Act, 2020, The Farmers (Empowerment and
Protection) Agreement on Price Assurance and Farm Services Act, 2020 and The Essential Commodities
(Amendment) Act, 2020.
What was the need for these reforms?
• Unremunerative of farming: The infographic highlights the trends of increasing indebtedness, stagnation of
trade and migration patterns among others.
• Issues with APMCs: The
Standing Committee on
Agriculture (2018-19)
identified following issues:
o Most APMCs have a
limited number of
traders operating,
which leads to
cartelization and
reduces competition.
Traders, commission
agents, and other
functionaries organize
themselves into
associations, which do
not allow easy entry of
new persons into
market yards, stifling
competition.
o Undue deductions in
the form of
commission charges and market fees.
o The Acts are highly restrictive in promotion of multiple channels of marketing (such as more buyers,
private markets, direct sale to businesses and retail consumers, and online transactions) and competition
in the system.
• Other motivations:
o A High-Powered Committee of seven Chief Ministers recommended changes to the Essential
Commodities Act, 1955 (which provides for control of production, supply, and trade of essential
commodities) for attracting private investment in agricultural marketing and infrastructure.
Why is there opposition to these reforms?
The opposition to the Acts has been coming from farmers as well as traders. Apart from the issues and
apprehensions from the Acts (they are mentioned alongside the analysis of the Bills), there were other procedural
issues with the implementation of the Bill also-
• Violating the federal spirit of the Constitution: Various State Governments like Punjab and Haryana have
objected that since Agriculture is a State subject, the passage of national laws, on a state subject, undermines
India’s federal consensus.
• Interfering in state subjects is administratively unwise: The Constitution assigned jurisdiction over agriculture
markets to states due to the very localized nature of farm production. The first sale between the farmer and

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 the trader is linked with the production process. This is location specific and it is states who are best placed
to determine the contours of production and sale including, taxation, credit, building farmer producer
organizations and physical markets.
• Not inclusive of farm organizations: Various organizations have stated that no consultations were held with
major farm organizations.
• Limited discussion in Parliament: The opposition parties have been protesting the fact that very limited
discussion happened on the Act and all political parties were not approached as part of the deliberations.
Other recent initiatives reforms taken by the Government
KRITAGYA Hackathon
• With an aim to promote potential technology solutions for enhancing farm mechanization with special emphasis on
women-friendly equipment, the Indian Council of Agricultural Research (ICAR) has announced KRITAGYA (Krishi-Taknik-
Gyan) hackathon under the National Agricultural Higher Education Project (NAHEP).
o NAHEP aims to develop resources and mechanism for supporting infrastructure, faculty and student advancement,
and providing means for better governance and management of agricultural universities. The project is proposed
on 50:50 cost sharing basis between the World Bank and the Government of India, implemented at the Education
Division, ICAR, New Delhi.
• Students, faculties, and innovators or entrepreneurs from universities and technical institutions can apply and
participate in the event in the form of a group.
Centralized Farm Machinery Performance Testing Portal
• The portal was launched by the Minister for Agriculture and Farmers Welfare. It was developed by the Department of
Agriculture, Cooperation and Farmers Welfare to improve services of farm machinery testing institutions and create
transparency in the process of testing and evaluation of machines.
• It will facilitate manufacturers in applying, communicating and monitoring the progress of testing of their machines in
a seamless manner from any location.

3.1.1. THE FARMERS' PRODUCE TRADE AND COMMERCE (PROMOTION AND

FACILITATION) ACT, 2020
Key features of the Act
• Trade of farmers’ produce: The Act allows intra-state and inter-state trade of farmers’ produce outside: (i)
the physical premises of market yards run by market committees formed under the state APMC Acts and (ii)
other markets notified under the state APMC Acts.
• Electronic trading: It permits the electronic trading of scheduled farmers’ produce (agricultural produce
regulated under any state APMC Act) in the specified trade area. An electronic trading and transaction
platform may be set up to facilitate the direct and online buying and selling of such produce through electronic
devices and internet.
o The following entities may establish and operate such platforms: (i) companies, partnership firms, or
registered societies, having permanent account number under the Income Tax Act, 1961 or any other
document notified by the central government, and (ii) a farmer producer organization or agricultural
cooperative society.
• Market fee abolished: The Act prohibits state governments from levying any market fee, cess or levy on
farmers, traders, and electronic trading platforms for trade of farmers’ produce conducted in an ‘outside trade
area’.
Intended benefits of the Act
• Reduced role of intermediaries: The new legislation could create an ecosystem where the farmers and traders
will enjoy freedom of choice of sale and purchase of agri-produce. Thus, ending the monopoly exercised by
traders and other intermediaries resulting in full realization of the price.
o For example, a turmeric farmer now could sell her produce to BigBasket in Delhi, without any mandi tax
or trader commission, at a mutually agreed upon price.
• Integrated Market: Barrier-free inter-state and intra-state trade and commerce would enable farm surplus to
move freely from surplus to deficit regions. It will advance the idea of ‘one Nation, one Agri-market’.
o Currently, the agricultural markets are very fragmented. For instance, the monthly average price of rice in
2019 ranged from ₹2,042 per quintal in Agra (Uttar Pradesh) to ₹5,102 in Gangtok (Sikkim). The variation
is more pronounced in case of vegetables. (see inforgraphic)

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• Encouraging APMC
reforms: Private markets
could put pressure on
APMC markets (the Act
does not repeal the
APMC laws) to infuse
more transparency and
efficiency in their
functioning. The State
governments have a
significant role in
reforming the APMC
system:
o depoliticize the
committees and make them more farmer friendly.
o to allow APMC markets to compete with private markets; the cess levied on market transactions can be
waived.
o privatizing mandis that are not viable.
Potential issues from the Act
• Sudden changes in market mechanisms may not bode well for the market. For instance, in 2006, Bihar
repealed its APMC Act with an objective to attract private investment in the sector and gave charge of the
markets to the concerned sub-divisional officers in that area. This resulted in:
o Erosion of the existing infrastructure over time due to poor upkeep.
o farmers facing issues such as high transaction charges and lack of information on prices and arrival of
produce.
• The Act creates an artificial distinction between “market areas” (regulated by the mandi system under state
governments) and “trade areas” (now under the central Acts), thus risking a problem of dual regulatory
market.
o Also, the new unregulated market space called the ‘trade area’ will have no oversight and the
government will have no information or intelligence about who the players are, who is transacting with
who for what quantities and at what prices.
• The newly created ‘trade areas’ would have a clear regulatory advantage over ‘market areas’ vis-à-vis the
mandi tax. This could potentially lead to a collapse of the APMC system and initiatives like e-NAM which are
riding on top of physical mandi structure in the country.
• The Act leaves a critical institutional space- how state-specific implementation investments, crucial for
running efficient markets, will be negotiated and managed, if APMC are bypassed.
• State Governments will lose mandi tax, which is a major source of revenue for States like Punjab and Haryana.

3.1.2. THE FARMERS (EMPOWERMENT AND PROTECTION) AGREEMENT ON PRICE

ASSURANCE AND FARM SERVICES ACT, 2020
Key features of the Act
• Farming agreement: The Act provides for a farming agreement between a farmer and a buyer prior to the
production or rearing of any farm produce.
o The minimum period of an agreement will be one crop season, or one production cycle of livestock. The
maximum period is 5 years, unless the production cycle is more than 5 years.
• Pricing of farming produce: The price of farming produce should be mentioned in the agreement. For prices
subjected to variation, a guaranteed price for the produce and a clear reference for any additional amount
above the guaranteed price must be specified in the agreement.
o Further, the process of price determination must also be mentioned in the agreement.
• Dispute Settlement: A farming agreement must provide for a conciliation board as well as a conciliation
process for settlement of disputes. The Board should have a fair and balanced representation of parties to
the agreement.

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 o At first, all disputes must be referred to the board for resolution. If the dispute remains unresolved by
the Board after thirty days, parties may approach the Sub-divisional Magistrate for resolution. Parties will
have a right to appeal to an Appellate Authority (presided by collector or additional collector) against
decisions of the Magistrate.
o Both the Magistrate and Appellate Authority will be required to dispose of a dispute within thirty days
from the receipt of application. The Magistrate or the Appellate Authority may impose certain penalties
on the party contravening the agreement. However, no action can be taken against the agricultural land
of farmer for recovery of any dues.
Intended benefits of the Act
• Promote Contract Farming: Giving a legal framework to contract farming will ensure groups of growers and
entrepreneurs come together in a contractual relationship which will provide a ready market for growers for
their produce, and ready access to raw material for the entrepreneurs (sponsors).
o The Act empowers farmers to engage with processors, aggregators, wholesalers, large retailers, exporters
etc., on a level playing field without any fear of exploitation.
• Lower risk for farmers: It will transfer the risk of market unpredictability from the farmer to the sponsor.
Due to prior price determination, farmers will be shielded from the rise and fall of market prices.
• Improved inputs: It may provide farmer access to high quality seeds, better technology, fertilizers and
pesticides along with impetus to research and new technology in agriculture sector.
• Attracting investments: This Act will act as a catalyst to attract private sector investment for building supply
chains for supply of Indian farm produce to national and global markets, and in agricultural infrastructure.
• Reduced cost of marketing for farmers: Since, after signing contract, farmer will not have to seek out traders.
The purchasing consumer will pick up the produce directly from the farm.
• Dispute Resolution: The Act also provides for effective dispute resolution mechanism for clear timelines.

Potential Issues from the Act

• Farmers have expressed apprehension that once these Acts are passed, they would pave the way for
dismantling of the minimum support price (MSP) system and leave the farming community at the "mercy" of
big corporates.
o As a corollary, the farmers feel that the proposed legislations will suit big corporations more than farmers
who will subsequently dominate the market.
o However, the Government has clarified that these Acts would not have any impact on the Minimum
Support Price (MSP) mechanism which will continue.
• The Act, while offering protection to farmers against price exploitation, does not prescribe the mechanism
for price fixation or a methodology for regulatory oversight.
• According to the Act, companies are not required to have a written contract with the farmer, making it
difficult for farmers to prove terms.
o As a result, if a farmer gets into a dispute regarding her/his contract with a private company, it will be very
difficult for the farmer to have the dispute settled in her/his favor.
o Also, in case of disputes, the District Administration has been entrusted with the responsibility to resolve;
but it may not be well equipped to settle disputes.

3.1.3. THE ESSENTIAL COMMODITIES (AMENDMENT) ACT, 2020

Key features of the Act
• Regulation of food items: The Act provides that the central government may regulate the supply of certain
food items including cereals, pulses, potatoes, onions, edible oilseeds, and oils, only under extraordinary
circumstances. These include: (i) war, (ii) famine, (iii) extraordinary price rise and (iv) natural calamity of grave
nature.
o The Essential Commodities Act, 1955 empowered the central government to designate certain
commodities (such as food items, fertilizers, and petroleum products) as essential commodities. The
central government may regulate or prohibit the production, supply, distribution, trade, and commerce
of such essential commodities.

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• Stock limit: The Act requires that imposition of any stock limit on agricultural produce must be based on price
rise. A stock limit may be imposed only if there is: (i) a 100% increase in retail price of horticultural produce;
and (ii) a 50% increase in the retail price of non-perishable agricultural food items.
o The increase in price will be calculated over the price prevailing immediately preceding 12 months, or the
average retail price of the last five years, whichever is lower.
Intended benefits of the Act
• Ends harassment of Businessmen and traders: Governments had restrictions on hoarding on food
commodities and could seize any excess stocks maintained by the traders. This resulted in widespread
harassment of traders and rent-seeking behavior. Now with the new Act, inventories can be managed without
such interference.
• Helps reduce wastage as storage facilities improve: Despite India losing a third of the agri. produce post-
harvest, businesses found it difficult to devise solutions to decrease that loss, mainly due to the regulation.
• Likely to attract private investment in Cold Storage, warehouses and processing: These reforms may
accelerate growth in the sector through private sector investment in building infrastructure and supply chains
for farm produce.
• Will bring price stability and raise farm incomes: Exempting selected commodities from ECA will improve the
marketability of the crop for growers. Processors, exporters and traders will now be able to build inventory
without fear of penal action.
Potential Issues from the Act
• Some experts fear that the Act would effectively legalize hoarding, as licenses will no longer be required to
trade in these commodities.
o Such a situation can lead to anti-competitive behavior by particular buyers in the food chains.
• Complete deregulation of these commodities could lead to dangerous situation of food supply problems
during extraordinary circumstances as the Government will have no information on who the players are, and
the levels of stocks are not clear.

3.2. LABOUR CODES

Why in News?
Parliament has passed the three Labour Code bills – the Occupational Safety, Health and Working
Conditions Code, 2020; the Industrial Relations Code, 2020; and the Code on Social Security, 2020 in a major
boost to Labour reforms.
Background
• In 2019, the Ministry of Labour and Employment introduced four Bills to consolidate 29 central laws. These
Codes regulate: (i) Wages, (ii) Industrial Relations, (iii) Social Security, and (iv) Occupational Safety, Health and
Working Conditions.
• While the Code on Wages, 2019 has been passed by Parliament, Bills on the other three areas were referred
to the Standing Committee on Labour. The Standing Committee has submitted its report on all three Bills. The
government has replaced these Bills with new ones in September, 2020.
Labour Laws framework in India
• Labour is subject in the Concurrent List of the seventh schedule, thus allowing both the Centre and states to
legislate on labour related issues.
• Currently, there are 44 labour laws under the purview of Central Government and more than 100 under State
Governments, which deal with a host of labour issues.

3.2.1. CODE ON INDUSTRIAL RELATIONS, 2020

• It combines the features of three erstwhile laws:
o Trade Unions Act 1926,
o Industrial Employment (Standing Orders) Act, 1946
o Industrial Disputes Act, 1947

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Major provisions under the code:
• Definition of worker: It defines a ‘worker’ as any person who work for hire or reward. It excludes persons
employed in a managerial or administrative capacity, or in a supervisory capacity with wages exceeding Rs
18,000.
• Standing Orders: All industrial establishment with 300 workers or more must prepare standing orders on the
matters relating to:
o classification of workers,
o manner of informing workers about work hours, holidays, paydays, and wage rates
o termination of employment, and
o grievance redressal mechanisms for workers. Lay-off refers to an employer’s inability
• Prior permission of the government for closure, lay-off and to continue giving employment to a
worker in the face of adverse business
retrenchment: It is required for an establishment having at least
conditions.
300 workers to seek prior permission of the government before
closure, lay-off, or retrenchment. Central government is Retrenchment refers to the termination
of service of a worker for any reason
empowered only to allow an increase in the threshold through
other than disciplinary action.
notification.
• Negotiating Union and Council
o Sole Negotiating Union: If there are more than one registered trade union of workers functioning in an
establishment, the trade union having more than 51% of the workers as members would be recognised as
the sole negotiating union.
o Negotiation Council: In case no trade union is eligible as sole negotiating union, then a negotiating council
will be formed consisting of representatives of unions that have at least 20% of the workers as members.
• Tribunals for settlement of disputes: for the settlement of industrial disputes. Each Industrial Tribunal will
consist of a Judicial member and an Administrative member.
o The code classifies any dispute in relation to discharge, dismissal, retrenchment, or otherwise termination
of the services of an individual worker to be an industrial dispute.
o In case of disputes relating to termination of individual worker, the worker may apply to the Industrial
Tribunal for adjudication of the dispute 45 days after the application for the conciliation of the dispute
was made.
• Fixed term employment: Fixed term employment refers to workers employed for a fixed duration based on
a contract signed between the worker and the employer. It may allow employers the flexibility to hire workers,
reduce the role of a middleman such as an agency or contractor, and also benefit the worker and help improve
the conditions of temporary workers in comparison with contract workers who may not be provided with such
benefits.
• Re-skilling fund: To re skill those workers who are fired from their jobs. Contributions for the fund will be
made from the employer of an industrial establishment amounting to fifteen days wages last drawn by the
worker immediately before the retrenchment along with the contribution from such other sources.
Key issues with the code
• May impact ability of workers to strike & employers to lock out workers:
o The code has expanded to cover all industrial establishments for the required notice period and other
conditions for a legal strike. A prior notice of 14 days is required before a strike or lock-out and prohibits
strikes and lock-outs under certain conditions.
o Earlier these provisions were applicable only for public utility services (railways, airlines, and
establishments that provide water, electricity, and telephone service) under the Industrial Disputes Act,
1947. The rationale for extending the provisions on notice to all establishments is unclear.
o The National Commission on Labour (2002) had justified the rationale of treating such industries
differently, considering their impact on the lives of a vast majority of people.
• Violation of the principle of separation of executive and judiciary:
o The code gives extensive power to government to modify or reject tribunal awards through executive
action and raises a question of conflict of interest.

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 o It states that the awards passed by a Tribunal will be enforceable on the expiry of 30 days. However, the
government can defer the enforcement of the award in certain circumstances on public grounds affecting
national economy or social justice.
▪ The Industrial Disputes Act, 1947 had similar provisions. In 2011, the Madras High Court struck down
these provisions on constitutional grounds.
• Impact on formation of trade unions: It is unclear as to what will happen in case there are multiple registered
trade unions which enjoy this support (of 10% of members) but no union has the required support of at least
20% workers to participate in the negotiating council.
• Provisions on fixed term employment
o Power to renew such contracts lies with the employer. This may result in job insecurity for the employee
and may deter him from raising issues about unfair work practices, such as extended work hours, or denial
of wages or leaves.
o Does not restrict the type of work in which fixed term workers may be hired. Therefore, they may be hired
for roles offered to permanent workmen.
▪ 2nd National Commission on Labour (2002) had recommended that no worker should be kept
continuously as a casual or temporary worker against a permanent job for more than two years.
▪ The Standing Committee on Labour also recommended the conditions under which, and areas where
fixed term employment may be utilised should be clearly specified.
• Certain terms not defined in the Code: it does not define the terms ‘manager’, ‘supervisor’, ‘contractor’ and
‘establishment’ leaving them open to wider interpretation.

3.2.2. CODE ON SOCIAL SECURITY, 2020

The Code replaces nine laws related to social security. These include the Employees’ Provident Fund Act, 1952,
the Maternity Benefit Act, 1961, and the Unorganised Workers’ Social Security Act, 2008 among others.
Major provisions of the code
• Applicability: The code is applicable to any establishment (subject to size-threshold as may be notified by the
central government).
• Social security fund: The code states that the central government will set up such a fund for unorganised
workers, gig workers and platform workers.
Gig workers refer to workers outside the traditional
Further, state governments will also set up and employer-employee relationship.
administer separate social security funds for
Platform workers are those who access organisations or
unorganised workers.
individuals through an online platform and provide
• Provisions for registration of all three categories of services or solve specific problems.
workers - unorganised workers, gig workers and
platform workers.
• National Social Security Board: for the purposes of welfare of above three categories of workers and
recommend and monitor schemes for them. The Board will comprise of (i) five representatives of aggregators,
nominated by the central government, (ii) five representatives of gig workers and platform workers,
nominated by the central government, (iii) Director General of the ESIC, and (iv) five representatives of state
governments.
• Contribution for Schemes: schemes for gig workers and platform workers may be funded through a
combination of contributions from the central government, state governments, and aggregators.
• Changes in definitions: These include expanding the definitions of (i) ‘employees’ to include workers
employed through contractors, (ii) “inter-state migrant workers” to include self-employed workers from
another state, (iii) “platform worker” to additional categories of services or activities as may be notified by the
government, (iv) audio-visual productions to include films, web-based serials, talk shows, reality shows and
sports shows
• Term of eligibility for gratuity for journalists: The code reduces the gratuity period from five years to three
years for working journalists.
• Offences and penalties: The code changes the penalties for certain offences. For example, the maximum
imprisonment for obstructing an inspector from performing his duty has been reduced from one year to six
months.

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• Additional powers during an epidemic: The code adds new clauses which may become applicable in the cases
of an epidemic. For example, the central government may defer or reduce the employer’s or employee’s
contributions (under PF and ESI) for a period of up to three months in the case of a pandemic, endemic, or
national disaster.
Key issues with the code
• No Universal social security:
o Benefits, such as pension and medical insurance, continue to be mandatory only for establishments with
a minimum number of employees (such as 10 or 20 employees). All other categories of workers (i.e.,
unorganised workers), such as those working in establishments with less than 10 employees and self-
employed workers may be covered by discretionary schemes notified by the government. A large number
of workers may continue to be excluded.
▪ Periodic Labour Force Survey Report (2018-19) indicates that 70% of regular wage/salaried employees
in the non-agricultural sector did not have a written contract, and 52% did not have any social security
benefit.
o The code continues to treat employees The National Commission on Labour (2002) (NCL) had emphasised
the need for universal and comprehensive social security coverage
within the same establishment
to avoid deprivation of basic needs of workers
differently based on the amount of
wages earned. For instance, provident The Standing Committee on Labour (2020) had also made following
recommendations in this regard that includes: (i)expanding the
fund, pension and medical insurance
definition of “establishment” to include agricultural and own
benefits are only mandatory to account enterprises, (ii) expanding definitions of “employees” to
employees earning above a certain include Asha and Anganwadi workers, and “unorganised workers”
threshold (as may be notified by the to include agricultural workers and(iii) creating a separate fund for
government) in eligible establishments. inter-state migrant workers.
o The code continues to retain the
existing fragmented set up for the delivery of social security benefits. These include: (i) a Central Board
of Trustees to administer the EPF, EPS and EDLI Schemes and (ii) an Employees State Insurance Corporation
to administer the ESI Scheme.
• Provisions on gig workers and platforms workers are unclear : The code introduces definitions for different
categories of workers, however, there may be some overlap between their definitions. For example, a driver
working for an app-based taxi aggregator is a gig worker, a platform worker and an unorganised worker at the
same time due to his nature of job. With such overlap across definitions, it is unclear how schemes specific to
these categories of workers will apply.
o The Standing Committee on Labour recommended (i) expanding the definition of “unorganised workers”
to include gig and platform workers, (ii) making the definition of “gig worker” more specific to avoid
misinterpretation but it was not incorporated in the code.
• Mandatory linking with Aadhaar may violate Supreme Court judgement: The code mandates an employee
or a worker (including an unorganised worker) to provide his Aadhaar number to receive social security
benefits or to even avail services from a career centre. This may violate the Supreme Court’s Puttaswamy
judgement.
o In its judgement, the Court had ruled that the Aadhaar card/number may only be made mandatory for
expenditure on a subsidy, benefit or service incurred from the Consolidated Fund of India.

3.2.3. CODE ON OCCUPATIONAL SAFETY, HEALTH AND WORKING CONDITIONS,

2020
It consolidates 13 existing acts regulating health, safety and working conditions. These include the Factories Act,
1948, the Mines Act, 1952, and the Contract Labour (Regulation and Abolition) Act,1970.
Major provisions under the code:
• Threshold for coverage of establishments
o Factory: It defines a factory as any premises where manufacturing process is carried out and it employs
more than: (i) 20 workers, if the process is carried out using power, or (ii) 40 workers, if it is carried out
without using power.

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 o Establishments engaged in hazardous activity: It includes all establishments where any hazardous
activity is carried out regardless of the number of workers.
o Contract workers: Code will apply to establishments or contractors (including the offices of the central
and state governments) employing 50 or more workers (on any day in the last one year) and prohibits
contract labour in core activities (to be determined by the appropriate government). It also defines a list
of non-core activities comprising 11 works including: (i) sanitation workers, (ii) security services, and (iii)
any activity of intermittent nature.
• Work hours and employment conditions
o Daily work hour limit: fixes the maximum limit at eight hours per day.
o Employment of women: women will be entitled to be employed in all establishments for all types of
work. In case they are required to work in hazardous or dangerous operations, the government may
require the employer to provide adequate safeguards prior to their employment.
▪ Exemption: The code empowers the state government to exempt any new factory from the provisions of the
Code in order to create more economic activity and employment.
▪ Inter-state migrant workers
o Definition of inter-state migrant worker: any person who moves on his own to another state and obtains
employment there and is earning a maximum of Rs 18,000 per month, or such higher amount which the
central government may notify.
o Benefits for inter-state migrant workers: include: (i) option to avail the benefits of the public distribution
system either in the native state or the state of employment, (ii) availability of benefits under the building
and other construction cess fund in the state of employment, and (iii) insurance and provident fund
benefits available to other workers in the same establishment.
o The code removed the provision for Displacement allowance which was there in the 2019 bill to pay a
displacement allowance to inter-state migrant workers at the time of their recruitment, which was
equivalent to 50% of the monthly wages.
o Database for inter-state migrant workers: the central and state governments to maintain or record the
details of inter-state migrant workers in a portal and the migrant worker can register himself on the portal
on the basis of self-declaration and Aadhaar.
o Social Security Fund for the welfare of unorganised workers: The amount collected from certain
penalties under the Code will be credited to the Fund. The government may prescribe other sources as
well for transferring money to the Fund.
Key Issues with the code:
• Rationale for some special provisions unclear
o It contains general provisions which apply to all establishments. These include provisions on registration,
filing of returns, and duties of employers. However, it also includes additional provisions that apply to
specific type of workers such as those in factories and mines, or as audio-visual workers, journalists, sales
promotion employees, contract labour and construction workers.
o While special provisions for hazard-prone establishments such as factories and mines and categories of
vulnerable workers such as contract labour seems justified, the rationale for mandating special provisions
for other workers is not clear.
• Civil Court barred from hearing matters under the Code
o Under the existing 13 health and safety laws, claims which affect the rights of workers such as wages, work
hours, and leave, are heard by labour courts and industrial tribunals.
o However, the code bars the jurisdiction of civil courts. The only recourse available would be to directly file
a writ petition before the relevant High Court. It can be argued that the bar on civil courts may deny
aggrieved persons an opportunity to challenge certain issues before a lower court.
To know more on Labour Laws such as Role of labour laws in an economy, Evolution of labour laws in India and what can
be the way forward to improve the labour law scenario in India, refer to our Weekly Focus document – “Reform and
Codification of India’s Labour Laws”.

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3.3. AMENDMENTS TO PUBLIC PROCUREMENT ORDER, 2017
Why in news?
Recently, Public Procurement (Preference to Make in India) Order, 2017 was amended to give more preference
to local suppliers.
Key highlights of the amended order
• Enables nodal Ministries/ Departments to notify higher minimum ‘local content’ requirement for Class-I &
Class-II local suppliers.
o Earlier, Class-I local suppliers were defined as those having local content equal to or more than 50%, Class-
II suppliers as having local content between 20 and 50%.
o Local content is defined as the total value of the item procured less the value of imported content in the
item as a proportion of the total value.
• Specifying foreign certifications/ unreasonable technical specifications/ brands/ models in the bid document
is considered restrictive and discriminatory practice against local suppliers.
o Foreign certification shall be stipulated only with the approval of Secretary of the Department concerned.
• Entities of countries which do not allow Indian companies to participate in their government procurement
for any item, shall not be allowed to participate in government procurement in India for all items related to
that nodal ministry or department, except for the list of items published by the ministry or department
permitting their participation.
• All administrative Ministries/ Departments whose procurement exceeds Rs. 1000 Crore per annum shall notify
their procurement projections for the next 5 years on their respective website.
• An upper threshold value of procurement beyond which foreign companies shall enter into a joint venture
with an Indian company to participate in government tenders shall be notified.
About Public Procurement (Preference to Make in India), Order 2017
• It was issued under General Financial Rules 2017 to promote domestic value addition in public procurement.
• Under this, as revised in June
2020, only Class-I and Class- Other measures for promotion of local supplies in public procurement
II local suppliers are eligible • Public Procurement Policy for Micro and Small Enterprises (MSEs) Order,
to bid in procurement of 2018.
all goods, services or works, o It was notified under Micro, Small and Medium Enterprises
and with estimated value of Development Act, 2006.
purchases less than Rs. 200 o Under this, every Central Ministry /Department / PSUs shall set an
crores. annual target for 25% procurement from MSE Sector.
o Global tender enquiry can o A sub-target of 4% and 3% out of 25% is earmarked MSEs owned by
be issued with the SC/ST and Women entrepreneurs respectively.
o 358 items are also reserved for exclusive purchase from MSE sector.
approval of the competent
• Government eMarketplace (GeM).
authority for purchases o GeM was launched in 2016 as an end-to-end e-portal for procuring
less than Rs. 200 crores. common-use goods and services by Central and State Government
• It is applicable on procurement Departments, PSUs, autonomous institutions and local bodies.
of goods, services and works o It aims to bring in transparency, promote ease of doing business,
(including turnkey works) by a simplify the process of procurement.
Central Ministry, Department, o The purchases through GeM by Government users have been made
attached, subordinate offices, mandatory by Ministry of Finance.
autonomous bodies controlled • Defence Acquisition Procedure (DPP) 2020
by the Government of India, o It proposes increasing the Indigenous Content (IC) stipulated in
various categories of procurement by about 10% to support the ‘Make
Government companies, their
in India’ initiative.
Joint Ventures and Special o It also proposes, New Category Buy (Global – Manufacture in
Purpose Vehicles. India) with minimum 50% IC on cost basis of total contract value.
• For the verification of the local
content, self-certification would be necessary. Nodal Ministries may also constitute committees with internal
and external members for independent verifications of the self-declarations.

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• A committee in Department for Promotion of Industry and Internal Trade will oversee the implementation
of this order.
Issues faced by local suppliers
• Some departments and PSUs impose mandatory eligibility clauses, such as a minimum turnover limit and the
number of purchase orders previously executed for the procurement of materials.
• The time, cost and effort required for the tendering process, inadequate opportunities for buyer-seller
interactions, inadequate information, complex vendor registration processes acts as obstacles to domestic
suppliers.
• Many MSMEs complain that several traders have become vendors through GeM platform, which is hurting
the interests of genuine MSEs.
Suggestions
Public procurement from MSE has been growing 3-4% year-on-year. From 23.11% in 2017-18, the procurement
went up to 30.95% in 2019-20. Some suggestions to further improve this are:
• There needs to be a digitised, easily-accessible central database of MSE vendors across the country.
Authorities must also relax the qualification criteria of MSMEs vis-a-vis their large corporate counterparts to
level the playing field.
• The major procuring ministries must undertake measures for training MSE vendors as well as PSUs and their
procurement officers to inculcate greater knowledge of the sector and markets amongst them to encourage
better cooperation and efficiency.
• Semi-independent testing labs should be established in every state to ensure fair and quick testing of the
products.
• A feedback and grievance redressal portal, as well as an on-ground team, shall be set up.

3.4. BILATERAL NETTING

Why in news?
Recently Bilateral Netting of Qualified Financial Contracts Act, 2020 was enacted with an aim to ensure financial
stability and promote competitiveness in Indian financial markets.
About Bilateral Netting
• A bilateral netting agreement enables two
counterparties in a financial contract to offset claims
against each other to determine a single net payment
obligation due from one counterparty to the other.
o Netting refers to offsetting of all claims arising
from dealings between two parties, to determine
a net amount payable or receivable from one
party to other. (see infographic)
• Similarly, a multilateral netting agreement Important terms
allows counterparties to offset claims against • Derivatives: They are defined as the type of security in
each other through a Central Counterparty which the price of the security depends/is derived from the
(CCP) in a clearing house under the Payment price of the underlying asset. The common types of
and Settlement Systems (Amendment) Act derivatives include Options, Futures, Forwards, Warrants
(2015). and Swaps.
• Earlier, Indian financial contract laws did not • Over the Counter (OTC) derivatives: They are contracts
traded between two parties (bilateral negotiation) without
permit bilateral netting, however, they did
going through an exchange or any other intermediaries.
allow multi-lateral netting.
• Qualified financial contracts (QFC): QFC means any
• In India, Bilateral contracts constitute 40% of bilateral contract notified as a QFC between two qualified
total financial contracts, while multilateral financial market participants where at least one party is an
contracts constitute 60%. entity regulated by the relevant authority.

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• Netting is very common in advanced economies where the settlement is based on net positions in bilateral
or multilateral financial arrangements rather than by gross positions.
o At present, major jurisdictions such as the U.S., U.K., Australia, Canada, Japan, France, Germany,
Singapore and Malaysia have legal provisions in place for netting agreements.
o Global regulatory bodies such as the Financial Stability Board (FSB) and the Basel Committee on Banking
Supervision have supported the use of such netting.
About Bilateral Netting of Qualified Financial Contracts Act, 2020
• It seeks to provide a legal framework for bilateral netting of qualified financial contracts (QFC) which are
over the counter derivatives (OTC) contracts.
• Act seeks to provide
o designation of any bilateral agreement or contract or transaction, or type of contract, as qualified
financial contract by the Central Government or any of the regulatory authorities namely:
▪ Reserve Bank of India (RBI),
▪ Securities and Exchange Board of India (SEBI),
▪ Insurance Regulatory and Development Authority of India (IRDAI),
▪ Pension Fund Regulatory and Development Authority (PFRDA)
▪ International Financial Services Centres Authority (IFSCA).
o determination of the net amount payable under the close-out netting in accordance with the terms of
the netting agreement.
o imposing of certain limitations on powers of administration practitioner.
Significance of this move
• Reduce credit risk and regulatory capital burden for banks, freeing up capital for other productive uses and
also reduce systemic risk during defaults.
o Without bilateral netting, Indian banks have had to set aside higher capital against their trades in the over-
the-counter (OTC) market, which impacts their ability to participate in the market.
o The capital saving would enable banks to provide price efficiency in offering hedging instruments to
businesses in India, and catalyse the corporate bond market through developing the credit default swap
(CDS) market.
• Reduce hedging costs and liquidity needs for banks, primary dealers and other market-makers, thereby
encouraging participation in the OTC derivatives market to hedge against risk.
o Increased market participation in the CDS market would also provide an impetus for corporate bond
market development.
• Establish an efficient recovery mechanism for financial contracts under instances of default by a counterparty.
• Adhere to India’s G20 and FSB commitment to implement global regulatory reforms in the OTC derivatives
market.
o A strong netting system generally gives rise to a thriving derivatives market, as it provides the most
accurate picture of a company’s financial position, solvency and liquidity risk.

3.5. COMPANIES (AMENDMENT) ACT, 2020

Why in News? About Companies Act 2013
Recently, Companies (Amendment) Act, 2020 • This law regulates incorporation of a company, responsibilities
was. of a company, directors, dissolution of a company.
• It also introduced mandatory Corporate social responsibility
Background (CSR) contributions for large companies.
• National Financial Reporting Authority (NFRA) and National
• The Companies (Amendment) Act, 2020
Company Law Tribunal (NCLT) is established under this act.
has been based on the Company Law
Committee (CLC) which was set up under the Chairmanship of Shri Injeti Srinivas in September, 2019.
• The CLC was constituted with a view to decriminalize offences and provide ease of doing business as part of
the government Covid-19 relief package to the corporates and other stakeholders.

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Key amendments made
• Decriminalising offenses: Amendment removes the penalty, imprisonment for 9 offenses which relate to non-
compliance with orders of the national company law tribunal (NCLT), and reduces the amount of fine payable
in certain cases.
o However, there will be no relaxation for serious offences, including fraud and those that cause "injury to
public interest or deceit"
o Also under the Act, one-person companies or small companies are only liable to pay up to 50% of the
penalty for certain offences.
▪ Amendment extends this provision to all producer companies and start-up companies.
• Exclusion from listed companies: Amendment empowers the Centre in consultation with the SEBI, to exclude
companies issuing specified classes of securities from the definition of a “listed company”.
• Producer companies: Under the 2013 Act, certain provisions from the Companies Act, 1956 continue to apply
to producer companies. These include provisions on their membership, conduct of meetings, and
maintenance of accounts.
o Amendment removes these provisions and adds a new chapter in the Act with similar provisions on
producer companies which will particularly benefit to Farmers Producer companies.
o Producer companies include companies which are engaged in the production, marketing and sale of
agricultural produce, and sale of produce from cottage industries.
• Corporate Social Responsibility (CSR): Under 2013 Act, companies with net worth, turnover or profits above
a specified amount are required to constitute CSR Committees and spend 2% of their average net profits in
the last three financial years, towards its CSR policy.
o Now, Amendment exempts companies with a CSR liability of up to Rs 50 lakh a year from setting up CSR
Committees. Also, eligible companies under CSR provision will be allowed to set off any amount spent in
excess of their CSR spending obligation in a particular financial year towards such obligation in subsequent
financial years.
• Benches of NCLAT: Amendment seeks to establish benches of the National Company Law Appellate Tribunal
in New Delhi.
• Remuneration to non-executive directors: Amendment extends special provisions for payment of
remuneration to non-executive directors, including independent directors if the company has inadequate or
no profits in a year.
Related News
Insolvency and Bankruptcy Code (Second Amendment) Act, 2020
• Recently Insolvency and Bankruptcy Code (Second Amendment) Act, 2020 was also enacted as an step to improve
ease of doing business.
• It amends the Insolvency and Bankruptcy Code, 2016 which provides a time bound process for resolving insolvency in
companies and also among individuals.
• The legislation seeks to temporarily suspend initiation of the corporate insolvency resolution process (CIRP) under the
Code.
o It provides that for defaults arising during the six months from 25th of March this year, CIRP can never be initiated
by either the company or its creditors.
o Central government may extend this period to one year through notification.
o Insolvency is a situation where individuals or companies are unable to repay their outstanding debt.
• It replaces the Insolvency and Bankruptcy Code (Amendment) Ordinance, 2020 promulgated in June this year.
• Amendments were brought due to the Covid-19 situation to give the immunity to the business from insolvency
proceedings in this critical situation.
Factoring Regulation (Amendment) Bill, 2020
• Recently, The Factoring Regulation (Amendment) Bill, 2020 was passed in Lok Sabha.
• Bill seeks to amend the Factoring Regulation Act, 2011 to widen the scope of entities which can engage in factoring
business.
• Bill seeks to help micro, small and medium enterprises by providing additional avenues for getting credit facility,
especially through Trade Receivables Discounting System.
• 2011 Act was enacted to provide for regulating the assignment of receivables to factors, registration of factors
carrying on factoring business and the rights and obligations of parties to the contract for assignment of receivables.
o Factoring business is a business where an entity (referred as factor) acquires the receivables of another entity
(referred as assignor) for an amount.

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 o Receivables is the total amount that is owed or yet to be paid by the customers (referred as the debtors) to the
assignor for the use of any goods, services or facility.
o Factor can be a bank, a registered non-banking financial company or any company registered under the Companies
Act.

3.6. BUSINESS REFORM ACTION PLAN- EASE OF DOING BUSINESS

RANKING
Why in News?
Recently, Department of
Industrial Promotion and
Internal Trade (DPIIT) in
collaboration with World
Bank, released 4th edition
of Business Reform Action
Plan (BRAP) ranking of states.
About BRAP
• DPIIT has developed BRAP
for State Reforms since
2015 and circulated it with
States/UTs for implementation. It is designed keeping in mind 2
factors viz. Measurability and Comparability across States.
• Under BRAP, DPIIT provides a set of recommendations meant to
reduce the time and effort spent by businesses on compliance with
regulation.
o It also recommends all states have a single-window system that
provides all necessary information on permits and licenses
required for starting a business.
o DPIIT recommends that the duration of licenses be extended or
that they be renewed automatically based on self-certification or
third-party verification.
o A state is also rewarded if a set of regulations (like labour or
environment laws) are not applicable to it.
• BRAP aims to achieve the larger objective of attracting investments and increasing Ease of Doing Business
(EoDB) in each State by introducing an element of healthy competition through a system of ranking.
o State rankings will help attract investments, foster healthy competition and increase EODB in each State
BRAP Report 2018-19
• It includes 180 reform points covering 12 business regulatory areas such as Access to Information, Single
Window System, Labour, Environment, etc.
o For the first time since its inception in 2015, the BRAP rankings relied entirely on the feedback it received
from the businesses for whom these reforms were intended.
• States are required to submit proof of implementing each reform on the DPIIT’s EoDB portal and submit a list
of users of these reforms.
• Ranking categorises states as: Top Achievers (Above 95% compliance); Achievers (90 - 95%); Fast Movers (80
- 90%); Aspirers (Below 80%).
o Uttar Pradesh from North India, Andhra Pradesh from South India, West Bengal from East India, Madhya
Pradesh from West India and Assam from North East India topped the ranking. Among Union Territories,
Delhi bagged top spot.

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3.7. RESTRUCTURING OF LOANS
Why in News?
Recently, Reserve Bank of India (RBI) appointed K V Kamath committee submitted its report on resolution
framework for bank loans which were stressed on account of the COVID-19 pandemic.
More about News
• Earlier, RBI announced “Resolution Framework for COVID-19 related Stress” as a one-time restructuring
scheme for lenders.
• It will allow lenders to change repayment terms for their borrowers. Lenders will be able to consider
borrower’s account as standard and will not have to tag them as defaulters or their account as a non-
performing loan.
o The accounts turn non-performing assets (NPAs) after 90 days of overdue in making payments.
The accounts are classified as standard before this 90-day period.
• Kamath committee was set up to make recommendations on the required financial parameters to be
factored in the resolution plans, along with sector specific benchmark ranges for such parameters.
About Loan restructuring
• It is a process used by companies and individuals facing financial distress or on the brink of insolvency to
lower and renegotiate their debts and restore liquidity so that companies can continue their business.
• Basically, loans are restructured to avoid the risk of default on existing debt. The restructuring enables
borrowers to reschedule their loan payment, get a limited loan repayment holiday, or lower interest rates on
their existing loans.
Key Findings/Suggestions made by the Committee
• It recognizes that COVID-19 pandemic has affected the best of companies, these businesses were otherwise
viable under pre-COVID-19 scenario, its impact is pervasive across several sectors but with varying severity –
mild, moderate and severe.
o A segmented approach of bucketing these accounts under mild, moderate and severe stress, may ensure
quick turnaround.
• About 70% of banking sector loans have been impacted due to the COVID-19 pandemic, adding that about
45% were stressed even before the pandemic, and only 30% is impacted due to COVID-19 and the consequent
lockdown.
• The Committee identified financial ratios related to solvency, liquidity, and coverage for assessment of
resolution plans.
o Solvency ratios (such as total debt to earnings before interest, depreciation and tax ratio) denote the
ability of a company to meet long-term financial obligations.
o Liquidity ratio or current ratio denotes the ability to meet short-term obligations.
o Coverage ratio (such as debt service coverage ratio) denotes the extent to which cash flow can cover debt
payments (in a given time period).
• Based on the outstanding and the severity impact, the Committee selected 26 sectors including power,
construction, NBFCs and real estate, for the purpose of recommending financial parameters to be factored in
the Resolution plan.

3.8. REVISED PRIORITY SECTOR LENDING (PSL) GUIDELINES

Why in news?
The Reserve Bank of India (RBI) revised priority sector lending (PSL) guidelines to include entrepreneurship and
renewable resources, in line with emerging national priorities.
What is Priority Sector Lending (PSL) and how it works?
The concept of ‘Priority sector lending’ focuses on the idea of increasing the lending of the banks towards few
specified sectors and activities in the economy. The banks are mandated to encourage the growth of such sectors
with adequate and timely credit.

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Following are the key features of PSL methodology: Priority Sector includes the following categories:
• The rate of interest on bank loans is as per directives (i) Agriculture
issued by the Department of Banking Regulation of RBI, (ii) Micro, Small and Medium Enterprises
(iii) Export Credit
from time to time. Priority sector guidelines do not lay
(iv) Education
down any preferential rate of interest for priority sector
(v) Housing
loans. (vi) Social Infrastructure
• The provisions of PSL apply to every Commercial Bank (vii) Renewable Energy
[including Regional Rural Bank (RRB), Small Finance Bank (viii) Others
(SFB), Local Area Bank] and Primary (Urban) Co-operative
Bank (UCB) other than Salary Earners’ Bank licensed to operate in India by the Reserve Bank of India.
o All scheduled commercial banks and foreign banks (with a sizable presence in India) are mandated to set
aside 40% of their Adjusted Net Bank Credit (ANDC) for lending to these sectors.
o Regional rural banks, co-operative banks and small finance banks have to allocate 75% of ANDC to PSL.
✓ Total PSL target for urban cooperative banks will also be increased from present 40% of their adjusted
net bank credit (ANBC) to 75% by 31 March 2024.
• To ensure continuous flow of credit to priority sector, the compliance of banks is monitored on ‘quarterly’
basis.
• Shortfall on PSL targets:
o Banks having any shortfall in lending to priority sector are allocated amounts for contribution to the Rural
Infrastructure Development Fund (RIDF) established with NABARD and other funds with
NABARD/NHB/SIDBI/ MUDRA Ltd., as decided by the Reserve Bank from time to time.
o Non-achievement of priority sector targets and sub-targets is also taken into account while granting
regulatory clearances/approvals for various purposes.
Priority Sector Lending Certificates (PLSCs)
• Under the PSLC mechanism, the seller sells fulfilment of priority sector obligation and the buyer buys the obligation
with no transfer of risk or loan assets.
• This enables banks to achieve the priority sector lending target and sub-targets by purchase of these instruments in
the event of shortfall.
• This also incentivizes surplus banks as it allows them to sell their excess achievement over targets thereby enhancing
lending to the categories under priority sector.
What has been changed in the revised PSL guidelines?
For this review, RBI considered the recommendations made by the UK Sinha-led expert committee on Micro,
Small and Medium Enterprises and the MK Jain led Internal Working Group to Review Agriculture Credit apart
from discussions with all stakeholders. Some of the salient features of revised PSL guidelines are:
• Fresh categories included in the PSL category:
o bank finance of up to ₹50 crore to start-ups.
o loans to farmers both for installation of solar power plants for solarisation of grid-connected agriculture
pumps.
o for setting up compressed biogas (CBG) plants.
• Higher weightage has been assigned to incremental priority sector credit in ‘identified districts’ where priority
sector credit flow is comparatively low.
o Accordingly, from FY 2021-22, a higher weight (125%) would be assigned to the incremental priority sector
credit in the identified districts where the credit flow is comparatively lower and a lower weight (90%)
would be assigned for incremental priority sector credit in the identified districts where the credit flow is
comparatively higher.
• The targets prescribed for ‘small and marginal farmers’ and ‘weaker sections’ are being increased in a phased
manner.
• Higher credit limit has been specified for farmer producer organisations (FPOs)/farmers producers
companies (FPCs) undertaking farming with assured marketing of their produce at a pre-determined price.
• Loan limits for renewable energy have been doubled.
• For improvement of health infrastructure, credit limit for health infrastructure (including those under
‘Ayushman Bharat’) has been doubled.

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What are potential benefits from this revision?
• Provide support to farmers: Provisions like support for installation of solar power plants and support to small
and marginal farmers provide the requisite financial support farmers, thus encouraging the agricultural
sector.
o Also, higher credit limit to FPOs/FPCs would encourage development of such institutions.
• Address regional disparities: New guidelines have the potential to address the regional disparities in the flow
of priority sector credit via the new ‘identified districts’ methodology.
• Create environmentally friendly lending policies: Encouragement to sectors like renewable energy and
development of Biogas Plants also aim to encourage and support environment friendly lending policies to help
achieve Sustainable Development Goals (SDGs).
• Health Infrastructure: The revision in PSL guidelines will incentivise credit flow towards health infrastructure
thus providing increased financial space to developing agencies in COVID and post-COVID financial scenario.

3.9. BANKING REGULATION (AMENDMENT) BILL, 2020

Why in News?
Recently, parliament passed the Banking Regulation (Amendment) Bill 2020 that seeks to protect depositors of
cooperative banks and empower the Reserve Bank of India (RBI) to regulate banking activities of cooperative
societies.
More in News
• Bill comes in the backdrop of the Punjab & Maharashtra Co-operative Bank Scam and seeks to strengthen
cooperative banks by increasing their professionalism, enabling access to capital, improving governance and
ensuring sound banking through the RBI.
o As of March 2019, as many as 277 Urban cooperative banks are reporting losses; 105 UCBs are unable to
meet minimum regulatory capital requirements; 47 are having negative net worth and 328 UCB having
more than 15% Gross NPA ratio.
• Bill will replace the Banking Regulation (Amendment) Ordinance, 2020.
o In June, the union cabinet approved the ordinance to bring 1,482 urban and 58 multi-state cooperative
banks under the supervision of the RBI.
o The Ordinance sought to amend the Banking Regulation Act, 1949 (Act), which regulates the functioning
of banks and provides details on various aspects such as licensing, management, and operations of banks.
Key Feature of the bill
• Issuance of shares and securities by cooperative banks: Cooperative bank may issue equity shares,
preference shares, or special shares on face value or at a premium to its members or to any other person
residing within its area of operation. Further, it may issue unsecured debentures or bonds or similar securities
with maturity of ten or more years to such persons.
o Such issuance will be subject to the prior approval of the Reserve Bank of India (RBI), and any other
conditions as may be specified by RBI.
• Power to exempt cooperative banks: RBI may exempt a cooperative bank or a class of cooperative banks from
certain provisions of the Act through notification. These provisions are related to employment, the
qualification of the board of directors and, the appointment of a chairman.
• Supersession of Board of Directors: RBI may supersede the Board of Directors of a multi-state cooperative
bank for up to five years under certain conditions. These conditions include cases where it is in the public
interest for RBI to supersede the Board, and to protect depositors.
o In case of a co-operative bank registered with the Registrar of Co-operative Societies of a state, the RBI
will supersede the Board of Directors after consultation with the concerned state government, and within
such period as specified by it.
• Bill allows the central bank to initiate a scheme for reconstruction or amalgamation of a bank without placing
it under moratorium.
o If the central bank imposes moratorium on a bank, the lender cannot grant any loans or make investments
in any credit instruments during the moratorium tenure.

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• Exclusions: The Act does not apply to
About Cooperative Banks
certain cooperative societies. These are:
• Co-operative banks are financial entities established on a
o primary agricultural credit societies
co-operative basis and belonging to their members. This
(PACS), means that the customers of a co-operative bank are also its
o cooperative land mortgage banks, and owners.
o any other cooperative societies (except • Broadly, co-operative banks in India are divided into two
those specified in the Act). categories - urban and rural.
o Rural cooperative credit institutions could either be
Significance of the bill
short-term or long-term in nature.
• Address management issue: By bringing co- ▪ short-term cooperative credit institutions are
operative banks under the regulatory further sub-divided into State Co-operative Banks,
framework of RBI, it will address issues District Central Co-operative Banks, Primary
concerning poor management of Agricultural Credit Societies.
▪ Long-term institutions are either State Cooperative
cooperatives.
Agriculture and Rural Development Banks
• Increase capital Base: The provision to allow (SCARDBs) or Primary Cooperative Agriculture and
cooperative banks to raise capital through Rural Development Banks (PCARDBs).
securities will help increase capital base for o Urban Co-operative Banks (UCBs) are either scheduled
cooperative banks. or non-scheduled. Scheduled and non-scheduled UCBs
• Boost public confidence in cooperatives: By are again of two kinds- multi-state and those operating
allowing RBI to prepare a reconstruction in single state.
scheme without having to first make an • Urban Cooperative Banks (UCBs) are registered as
order of moratorium on barring deposit cooperative societies under the provisions of, either the
State Cooperative Societies Act of the State concerned or
withdrawals would reduce disruption in the
the Multi State Cooperative Societies Act, 2002.
financial system and increase confidence in
• Regulation of UCBs is split between RBI and centre/state-
the banking system among the public. governments, while that of smaller co-operative banks is
o At present, when the RBI finds divided between National Bank for Agriculture and Rural
something wrong in a bank, it has to Development (NABARD) and state governments.
impose a moratorium and appoint an • Registration and management related activities are
administrator. governed by the Registrar of Cooperative Societies (RCS) in
case of UCBs operating in single State and Central RCS (CRCS)
Challenges that still persist for UCBs in case of multi-State UCBs.
• Small rural cooperative bank: Bill excludes
Small rural cooperative bank, though the problem of misgovernance and frauds are more in smaller co-
operative banks since these entities are largely run by local politicians. Often, these banks don’t follow
processes and engage in dubious transactions.
• Dual regulation: In the past, the biggest issue faced by the co-operative banking sector was the issue of dual
regulation. Bill only strengthen supervisory power of RBI, but doesn’t address the issue of dual regulation
holistically.
• Structural issues: Most UCBs are single branch banks and have the problem of correlated asset risk. This means
the entire bank can come down if there is a local problem of significant scale.
• Operational issues: UCBs face stiff competition from other financial institutions such as small finance banks,
payment banks, NBFCs and so on. As a result, they offer unreasonably high interest rates to depositors.
• Poor Salary & Wage Structure: Highly professional staff is not eager to work in the UCBs due to their poor
Wage Structure. This blocks the development of professional attitude and approach among them.
• Debt Waiver Schemes: Because of the various Debt Waiver & Relief Schemes by Central & State Governments,
UCBs continue to face recovery problems, in the belief that fresh package/incentive would be provided to
them, which ultimately increases its NPA.
Way Forward
• Budgetary Support: Government can provide budgetary support for weak and sick UCBs.
• Salary of Staff: The Government can fix Salary & Wages of Urban Banks staff at par with State Government
salaries. This will boost the morale and efficiency of the working staff and they will give better service to the
banks’ customers.

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• Single Regulator: single control of RBI would bring qualitative improvement in the working of UCBs.
• Exchange of Information & Experience: There is need for an exchange of information and experience between
the various UCBs working in the area, and the promotion and creation of co-operative and banking related
projects in a co-ordinated manner.
• Separate Laws for UCBs: The Government should frame separate laws for UCBs which will help them to
recover loans and advances from the borrowers without any scope for wilful defaulters.

3.10. INNOVATION ECOSYSTEM: WHAT, WHY AND HOW?

Why in News?
Recently, India’s rank improved in the Global Innovation Index (GII) by four places to 48th place in 2020 from 52nd
position last year.
About GII
• It has been developed by the World Intellectual Property Organization (WIPO) together with top business
universities like Cornell University, INSEAD etc.
• It measures the innovative capacity and outputs of 131 economies, using 80 indicators ranging from standard
measurements such as research and development investments and patent and trademark filings, to mobile-
phone app creation and high-tech net exports.
Key Findings of the document
• COVID-19 crisis will impact innovation, leaders need to act as they move from containment to recovery.
o The pharmaceuticals and biotechnology sector are likely to experience R&D growth. Other key sectors,
such as transport, will have to adapt faster as the quest for clean energy is receiving renewed interest.
• The financial system is sound so far but money to fund innovative ventures is drying up. Venture Capital deals
are in sharp decline across North America, Asia, and Europe.
• Geography of innovation is continuing to shift, as evidenced by the GII rankings. Over the years, China,
Vietnam, India, and the Philippines are the economies with the most significant progress in their GII
innovation ranking over time. All four are now in the top 50.
• Despite some innovation catch-up, regional divides exist with respect to national innovation performance:
Northern America and Europe lead, followed by South East Asia, East Asia and Oceania, and more distantly by
Northern Africa and Western Asia, Latin America and the Caribbean, Central and Southern Asia, and Sub-
Saharan Africa, respectively.
• For the first time, the GII 2020 presents the top 100 clusters ranked by their S&T intensity—that is, the sum
of their patent and scientific publication shares divided by population.
o The top 100 clusters are located in 26 economies, of which 6— Brazil, China, India, Iran, Turkey, and the
Russian Federation— are in middle-income economies. The U.S. continues to host the largest number of
clusters (25), followed by China (17), Germany (10), and Japan (5).
What is an Innovation Ecosystem?
• An innovation ecosystem refers to a loosely interconnected network of companies and other entities that co-
evolve capabilities around a shared set of technologies, knowledge, or skills, and work cooperatively and
competitively to develop new products and services.
o It is made up of different actors, relationships and resources who all play a role in taking a great idea to
transformative impact at scale.
o The effectiveness of each part is moderated by other parts of the system (e.g. entrepreneurs depend on
being able to access financing).
o A change to one part leads to changes in other parts of the innovation ecosystem (e.g. an increase in
internet connectivity will accelerate the design and testing of new technologies).
• The three defining characteristics of an innovation ecosystem are the dependencies established among the
members, a common set of goals and objectives and a shared set of knowledge and skills.
Why innovation ecosystems are important?
• Innovation ecosystems create an active flow of information and resources for ideas to transform into reality.
It can develop and launch solutions to solve real-world problems, faster.

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• Technological innovation is considered as a major source of
economic growth. It increases productivity and generate
greater output with the same input.
• Countries depend on innovation as new digital technologies
and innovative solutions create huge opportunities to fight
sickness, poverty and hunger.
• An effective innovation ecosystem enables entrepreneurs,
companies, universities, research organisations, investors
and government agencies to interact effectively to
maximise the economic impact and potential of their
research and innovation.
• Innovation is a key driver for sustenance and prosperity of
start-ups, conglomerates, governments by helping them
improve their service delivery and performance.
What are the challenges faced by innovation ecosystems in
India?
• Indian innovations are invariably incremental and not
disruptive- They are often ‘first to India’ and not ‘first to the
world’.
• Lack of Scalability- to create competitive marketable
products with speed, scale and sustainability.
• Slower progress - Even though India is within touching
distance of breaking into the top-50 innovator countries in
the world, it is still quite far from a China, which filed, for
instance, 53,345 patent applications with the WIPO in 2018
versus India’s 2,013.
• Weak university research: India is an odd juxtaposition of
stellar successes like the Chandrayaan and digital payments
and a large number of unemployable engineering graduates and institutes that have very limited autonomy.
Moreover, while our top-rung universities and institutes (IITs Delhi & Mumbai, IISc) do well regionally, they
have consistently remained out of the global 100.
• Quality of the STEM talent pool- the gross enrollment ratio at the tertiary education level in India is a low 26%
meaning, a vast reserve of potential research talent is lost.
Steps taken to improve the innovation ecosystem
• The India Innovation Growth Programme (IIGP) 2.0 is a unique tripartite initiative of the Department of
Science and Technology (DST), Government of India, Lockheed Martin and Tata Trusts which enables
innovators and entrepreneurs through the stages of ideation, innovation and acceleration, to develop
technology-based solutions for tomorrow.
• Fiscal incentives by Government’s Department of Scientific and Industrial Research (DSIR) for R&D activities
performed by institutions, academia, and industry for supporting, nurturing, and leading their innovations
towards fruition.
• SIDBI manages the India Innovation Fund—a registered venture capital fund that invests in innovation-led,
early-stage Indian firms.
• Innovate India: It is a unique platform to display, promote and recognize innovations happening across the
nation. It has been launched in collaboration with AIM-NITI Aayog and MyGov. Citizens from all parts of the
country are eligible to share the innovation on the platform.
• Technology Development Board (TDB) provides soft loans and promotes the equity of Indian industry through
the development and commercialization of indigenous technology and by adapting imported technology for
domestic applications.
• Accelerating Growth of New India's Innovations (AGNIi): It aims to support the ongoing efforts to boost
the innovation ecosystem in the country by connecting innovators across industry, individuals and the
grassroots to the market and helping commercialize their innovative solutions.

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• Various schemes such as Ramanujan Fellowship Scheme, the Innovation in Science Pursuit for Inspired
Research (INSPIRE) Faculty scheme and the Ramalingaswami Re-entry Fellowship, Visiting Advanced Joint
Research Faculty Scheme (VAJRA), Knowledge Involvement in Research Advancement through Nurturing
(KIRAN), ATAL Innovation Mission (AIM), Self-Employment and Talent Utilization (SETU) etc.
Conclusion
India has the potential to boost its innovation ecosystem if it can tap all its ecosystem stakeholders
simultaneously i.e. sectors like the government, industry, academia and society will have to work in tandem. The
synergy created by simultaneous action will automatically provide the much-desired link between industry,
academia and the research institutions. This link will also increase investments and encourage private sector
participation in the ecosystem.

3.11. RESULTS OF RANKING OF STATES ON SUPPORT TO STARTUP

ECOSYSTEMS
Why in news? Status of Startups in India
The Department for Promotion of Industry and • India is the 3rd largest startup ecosystem in the world.
Internal Trade (DPIIT) recently conducted the second • Around 28,000 startups are recognized by DPIIT.
edition of the States’ Startup Ranking Exercise. • India is home to 32 unicorns (startups with valuation
greater than $1 billion) with a combined valuation of
What is a Startup? more than $100 billion.
• The entire startup ecosystem raised $50 billion funding
An entity will be considered a startup if it fulfills the
between 2014 and 2019.
conditions mentioned below: • Leading sectors that pervade the Indian startup
• Entity Type: Incorporated as a private limited landscape are: Fintech, E-Commerce, Logistics,
company (as defined in the Companies Act, 2013) Enterprises, Health-Tech.
or Registered as a partnership firm (under the Partnership Act, 1932) or Registered as a limited liability
partnership (under the Limited Liability Partnership Act, 2008) in India
• Turnover: Must not exceed 100 crore rupees in any fiscal year
• Age: Below 10 years from date of incorporation
• Nature of Activity: Given that the entity is working towards – Innovation, Development or improvement of
products/processes/services, Scalability, Job Creation or Wealth Creation.
About States’ Startup Ranking Framework 2019
• A total of 22 States and 3 Union Territories participated in the exercise.
• The framework has 7 broad reform areas
Significance of Startups in India
consisting of 30 action points ranging
• Boosts employment: The startup ecosystem, tangibly adds to
from Institutional Support, Easing job creation in the nation. On an average 12 jobs created per
Compliances, Relaxation in Public startup totaling up to more than 3.5 Lakh jobs.
Procurement norms, Incubation support, • High potential for growth: It is estimated that the number of
etc. unicorns in India will increase by three times, to 95 in 2025 with
• To establish uniformity and ensure a cumulative valuation of approximately $390 billion.
standardization in the ranking process, • Fulfilling societal needs: Startups hold the key to address the
States and UTs have been divided into critical needs of the country in areas like affordable healthcare,
two groups- education, financial inclusion, etc.
o Category ‘Y’- with UTs except Delhi • Fostering a culture of Innovation and technology: Startups work
in an environment of changing technology and try to maximize
and all States in North East India
profits by innovation. This also induces backward and forward
except Assam linkages which stimulate the process of economic development
o Category ‘X’- All other States and UT in the country.
of Delhi • Attracting foreign Investment and stimulating domestic
• For ranking, States are classified into 5 investment: Indigenous startups have the potential to grow into
Categories: Best Performers, Top large multinational firms and enterprises and thus can initiate an
Performers, Leaders, Aspiring Leaders attractive and flourishing investment environment.
and Emerging Startup Ecosystems.

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Rankings
• Category X: Best Performer- Gujarat and Top Performers- Karnataka and Kerala
• Category Y: Best Performer- Andaman and Nicobar Islands and Leader- Chandigarh
• Leaders across 7 Reform Areas-
o Karnataka for reforms in areas of Institutional Leaders, Regulatory Change Champions and Procurement
Leaders
o Gujarat for reforms in areas of Incubation Hubs, Awareness and Outreach Champions and Scaling
Innovations Leaders
o Bihar for reforms in areas of Seeding Innovation Leaders.

3.12. PANDEMIC RISK POOL

Why in news?
A working group of IRDAI has recommended setting up of an Indian Pandemic Risk Pool with public-private-
government participation to provide coverage for losses resulting from pandemics like COVID-19 in future.
What is pandemic risk pool?
• A pool refers to the practice of insurance companies coming together and committing funds to meet claims
arising out of any particular insured risk in proportion to the business they do. In this manner, claim pay-out
is shared among all pool participants.
• This method is followed when there is too much uncertainty about the risk for any insurer to take a call, like
in nuclear risks, or when the losses are high and companies are reluctant to issue policies.
• Currently, it was suggested in the backdrop of COVID-19, which has affected not just health but all sectors of
the economy, including but not limited to manufacturing, aviation, tourism, transportation, construction,
services, agriculture and many others
• Thus, a risk pool could offer protection for business interruption without material damage, loss of income
and livelihood and other related pandemic related losses currently not insured in India.
• Thus, IRDAI has proposed the mechanism of a Pandemic Risk Pool and setup a committee to recommend the
structure and operating model for the pool.
• Similar pandemic pool proposals across the General Insurance Corporation of India (GIC Re)
world, including in the US, France and • GIC Re was setup in 1972, under the Companies Act, 1956.
Germany, are in various stages of approval. • It was formed for the purpose of superintending, controlling
Key recommendations of the committee and carrying on the business of general insurance.
Indian Terrorism Pool
• Formation and Structure: Risk pooling • India has created a Pool for Terrorism in 2002, that covers
mechanism with public-private-government loss, damage, cost or expense directly caused by, resulting
participation would be more appropriate as from or in connection with any action taken in suppressing,
the quantum of loss due to an controlling, preventing or minimizing the consequences of
epidemic/pandemic risk event is huge and an act of terrorism by the duly empowered government or
hence is beyond the capacity of public and/ military authority.
or private companies and/or government • The Pool is administered by GIC Re.
alone. Indian Nuclear Pool
• Indian Nuclear Insurance Pool was created in 2015 by GIC-
• Administration: General Insurance
Re, along with several other Indian Insurance Companies.
Corporation of India (GIC Re), which has • It has a capacity of ₹1500 crore to provide insurance to
experience of managing the Indian Terrorism cover the liability as prescribed under Civil Liability for
Pool and Indian Nuclear pool shall be Nuclear Damage Act, 2010.
administrator for the proposed pandemic
pool.
• Size and Financial capacity: Suggested setting up of a pandemic risk pool with a Rs 75,000 crore backstop (as
security) guarantee from the government in the initial stages, with a view to help MSME workers and migrant
labourers facing loss of income.
o In the subsequent phases, the pandemic coverage will be extended to other lines of business, then the
exposure will go up and the government backstop requirement will peak up to Rs 1,25,000 crore and then
it will start gradually reducing.

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Advantages of Pool Structure
• Affordability of coverage: With pooling a large share of country’s exposure to an event like pandemic,
aggregate cost of coverage would be lower than individual insurers could achieve on their own.
• Risk diversification: A single pool providing coverage for all the MSME’s of a country on mandatory basis would
create a more diversified portfolio of risks and reduce the anti-selection.
• Reduced cost of reinsurance: The cost of reinsurance tends to decline as the level of participation from the
government increases so the cost to reinsure a single and diversified pool of risks with public participation
would be lower.
• Maximizing the role of private insurers: The objective of pandemic pool should be to maximize the
contribution of private markets to providing coverage over a period of time.
• Anti-selection: A compulsory cover through pandemic pool can eliminate the possibility of anti-selection. Anti-
Selection occurs when an employee or group of employees purchase or select coverages with a greater than
likely loss at the expense of an insurance company.

3.13. GREEN TERM AHEAD MARKET

Why in News?
Recently, Central Electricity Regulatory Commission (CERC) approved Green term ahead market (GTAM) contracts
on the Indian Energy Exchange (IEX) platform.
About Indian Energy Exchange (IEX)
More on news • IEX is the first and largest energy exchange in India
• This step comes after Real Time Market (RTM) providing a nationwide, automated trading platform
for physical delivery of electricity, Renewable
trading was approved in power exchanges in June
Energy Certificates and Energy Saving Certificates.
2020.
• IEX is regulated by Central Electricity Regulatory
• IEX currently trades through following models: Commission.
o Day Ahead Market (DAM), where transactions in
electricity are allowed for a day in advance;
o Term Ahead Market (TAM), where electricity is traded the same day to up to 11 days in advance;
o Renewable Energy Certificate (REC), where green energy attributes of electricity are traded; and
o Real time Market (RTM), where auction sessions are conducted at even time blocks on the hour, and
delivery commences one hour after the trade session is closed.
• Though the renewable penetration in the country is increasing, the participation of renewable energy in the
existing DAM and TAM segment has remained negligible (less than 1%) as there has been no segregation
between conventional power and green
power by the system. To overcome this
issue, an alternative new model, namely
GTAM was introduced.
About GTAM
• GTAM has been specifically introduced for
selling off the power by the renewable developers in the open market without getting into long term Power
Purchase Agreements (PPAs).
• GTAM will provide an exclusive platform for short-term trading of Renewable Energy.
• Key features of GTAM:
o Energy scheduled through GTAM contract shall be considered as deemed RPO compliance of the buyer.
✓ Earlier, buyer of power from wind or a solar company could not claim that he had met RPO.
o Also, transactions through GTAM will be bilateral in nature with clear identification of corresponding buyers
and sellers, there will not be any difficulty in accounting for Renewable Purchase Obligations (RPO).
o There will be separate contracts for both Solar and Non-Solar energy to facilitate Solar and Non-Solar RPO
fulfillment.
o It will have Green Intraday (Ten Hourly Contracts for Same Day), Day Ahead Contingency (Hourly Contracts
for Next Day), Daily (All or a block of Hours in a single day) and Weekly Contracts (Monday to Sunday).
o Price discovery will take place on a continuous basis i.e. price time priority basis.

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Potential Benefits About Renewable purchase obligation (RPO)
• It would lessen the burden on RE-rich States and incentivize• RPO is a mechanism by which the obligated
entities are obliged to purchase certain
them to develop RE capacity beyond their own RPO.
percentage of electricity from Renewable
• This, along with the recently launched real-time trading in Energy sources, as a percentage of the total
electricity will support seamless integration of RE power consumption of electricity.
• It would enable Obligated entities to procure renewable o Obligated Entities include Discoms,
power at competitive prices to meet their RPO. Open Access Consumers and Captive
• Promote RE merchant capacity addition and help in power producers.
achieving RE capacity addition targets of the country. • RPOs are categorized as Solar and Non
• GTAM platform will lead to increase in number of Solar RPO.
participants in RE sector. Buyers of RE through competitive • RPOs are provided under Electricity Act
2003 and the National Tariff Policy 2006.
prices and transparent and flexible procurement and RE
sellers by providing access to pan- India market
o GTAM witnessed an encouraging response since its launch and has registered trade of three million units
(MU) in the first 11 days.
• It will provide a platform to environmentally conscious open access consumers and utilities to buy green
power.

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4. SECURITY
4.1. DEFENCE ACQUISITION PROCEDURE, 2020
Why in News?
Recently Defence Ministry unveiled Defence Acquisition Procedure, 2020 (erstwhile Defence Procurement
Procedure (DPP)).
Salient features of Policy
• DAP has been aligned with the vision of the government's 'Aatmanirbhar Bharat' (self-reliant India) initiative
and to empower Indian domestic industry through 'Make in India' projects with the ultimate aim of turning
India into a global manufacturing hub.
o It aims to implement ‘Ease of Doing Business’ with emphasis on Simplification, Delegation, Reduced
Timelines and making the process as Industry friendly as possible.
• It has come into effect from October 1, 2020 and will supersede the Defence Procurement Procedure (DPP)
of 2016.
o The first DPP was promulgated in the year 2002 and has since been revised periodically to provide impetus
to the growing domestic industry.
• Earlier in Aug 2019, Defence Ministry had constituted Committee under Apurva Chandra for preparation of
DAP-2020.
• DAP will ensure timely acquisition of military equipment, systems and platforms as required by the Armed
Forces in terms of performance, capabilities and quality standards, through optimum utilisation of allocated
budgetary resources.
• DAP will cover all Capital Acquisitions other than Works and Land undertaken by the Ministry of Defence
(MoD) and Service Headquarters (SHQ) both from indigenous sources and ex-import, except for medical
equipment.
Significance of policy
Key points in policy • Reduce dependence on imports: India is one of the top defence
hardware purchasers in the world, spending billions of dollars
• Offset policy revised: Government has each year according to various estimates.
changed 15-year old policy by removing • Boost overall economy: Government aims for a turnover of ₹1.75
the clause for offsets for inter- lakh crore in defence manufacturing by 2025 with the sector
government agreement (IGA), identified as having the potential to boost the overall economy.
government-to-government defence • Improve capabilities of the Armed Forces: DAP 2020 provides
deals and single-vendor contracts for the impetus to indigenisation and facilitates technology infusion to
procurement of arms and military enhance future capabilities of the Armed Forces.
platforms for the armed forces. • Defined role for Private sector: Private investment will be a
o The offset guidelines have also been major contributor to the ‘Make in India’ initiative, accelerate
revised, wherein preference will be manufacturing-led industrial growth and for capital and
technology advancement.
given to manufacture of complete
defence products over components and various multipliers have been added to give incentivisation in
discharge of offsets.
• Notify a List of Weapons/Platforms for Ban on Import: This is done to ensure that no equipment as mentioned
in the list is procured through import post timelines notified.
• For Indigenisation of Imported Spares: What is offset?
o New Category of Buy (Global – • Under the offset policy, the foreign defence entities were
Manufacture in India): It has been mandated to spend at least 30% of the total contract
incorporated in line with new FDI Policy and value in India through procurement of components,
to encourage foreign original equipment transfer of technologies or setting up of research and
manufacturers (OEMs) to setup development facilities.
‘manufacturing or maintenance entities’ • This condition was for all contracts worth more than Rs
through its subsidiary in India while enabling 2,000 crore.
• It was meant to improve the domestic defence
requisite protections to domestic industry.
manufacturing.

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 ▪ Recently there was enhancement of FDI through automatic route from 49% to 74% in defence.
o Request For Information(RFI): RFI stage will explore willingness of the prospective foreign vendors to
progressively undertake manufacture and setup an indigenous eco system at the spares/sub component
level.
o Reservation in Categories for Indian Vendors: The categories of Buy(Indian-IDDM), Make I, Make II,
Production Agency in Design &Development, Ordinace Factory Board/DPSU and SP model will be
exclusively reserved for Indian Vendors meeting the criteria of Ownership and Control by resident Indian
Citizens with FDI not more than 49%.
o Other proposed measures: These includes making after sales support part of capital acquisition contract,
higher indigenous content in acquisitions and incentives for local material and software and emphasis on
product export under offsets.
• For Time Bound Defence Procurement
Process, Faster Decision Making and Ease of
Doing Business:
o Setting up of project management unit
(PMU): It will facilitate obtaining advisory
and consultancy support in specified areas
to streamline the acquisition process and
support contract management.
o Simplification of Trial Procedures: DAP
2020 emphasises the need to conduct
trials with an objective to nurture competition based on the principles of transparency, fairness and equal
opportunities to all and not as a process of elimination.
o The policy also provides for a single stage accord of AoN (Acceptance of Necessity) in all cases up to ₹500
crore to avoid delays in approval of acquisition proposals.
• Leasing: It has been introduced as a new category for acquisition in addition to the existing ‘Buy’ and ‘Make’
categories to substitute huge initial capital outlays with periodical rental payments.
o This will be useful for military equipment not used in actual warfare like transport fleets, trainers,
simulators, among others.
• Strategic Partnership Model (SPM): Acquisitions under the Strategic Partnership model refer to participation
of private Indian firms along with foreign OEM in ‘Make in India’ in defence and play the role of a System
Integrator by building an extensive eco-system comprising development partners, specialised vendors and
suppliers, in particular, those from the MSME sector.
o Strategic Partnerships will seek to enhance indigenous defence manufacturing capabilities through the
private sector over and above the existing production base.

4.2. PIRACY IN THE INDIAN OCEAN REGION

Why in news?
Recently, India has joined Djibouti Code of Conduct/ Jeddah Amendment (DCOC/JA) as an Observer.
More on news
• The DCOC, established in 2009 under International Maritime Organization, is aimed at repression of piracy
and armed robbery against ships in the Western Indian Ocean Region, the Gulf of Aden and the Red Sea.
o Jeddah Amendment significantly broadened the scope of the Djibouti Code when it was adopted at a
high-level meeting in Jeddah, Saudi Arabia in 2017. It covers measures for suppressing a range of illicit
activities, including piracy, arms trafficking, trafficking in narcotics, illegal trade in wildlife, illegal oil
bunkering, crude oil theft, human trafficking, human smuggling, and illegal dumping of toxic waste.
o The members also cooperate in the investigation, arrest and prosecution of persons suspected of having
committed acts of piracy, the interdiction and seizure of suspect ships, the rescue of ships and people
subject to piracy and armed robbery, and the conduct of joint operations.
• It is a grouping on comprising 18 member states adjoining the Red Sea, Gulf of Aden, the East Coast of Africa
and Island countries in the Indian Ocean Region.
• As an observer, India will be looking forward to working together with DCOC/JA member states towards
coordinating and contributing to enhanced maritime security in the Indian Ocean Region.

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What is piracy, its associated threats and status in the Indian Ocean Region?
Under article 101 of UN Convention on the Law of the Sea, piracy is defined as: “Any acts of violence, detention,
or depredation committed on the high seas by the crew or passengers of a private ship or aircraft against another
ship, aircraft, persons, or property in a place outside the jurisdiction of any state for private ends.”
Rich pickings at sea, political instability, the lack of law enforcement and poverty on land are major factors which
have contributed to the increase in piracy. The issue of piracy manifests in the form of hijacking of ships, with a
focus on kidnapping and ransom payments. This generates several threats such as-
• Threat to national and regional economies in the form of trade hinderance. For example, Africa’s key maritime
routes (Sea Lanes of Communications) are affected adversely as over 90% of Africa’s imports and exports are
moved by sea.
• Most of the piracy intentioned attacks have been against ships involved in oil and gas transportation, such
as tankers, bulk carriers and tugs. Apart from that, commercial ships from smaller countries and fishing vessels
have also been targeted by the pirates. For example, The coastline off Nigeria saw the most attacks in 2018.
This is partly because of "petro-piracy", targeting tankers from Nigeria's rich oil and gas fields.
The piracy threat in the Indian Ocean region was primarily
recognized in 2008 by United Nations Security Council
(UNSC) resolution for counter-piracy operations. At the
time, piracy was considered a major threat to both local and
global peace and security. Since then, following
developments have happened:
• The threat of piracy peaked around 2011 when close to
160 major incidents were reported.
• Since 2013, the number of attacks and hijackings have
significantly dropped. For instance, in 2019, only two
attacks were reported in the region.
• As a consequence of these decreased instances, the
geographic boundaries of the ‘High Risk Area’ (HRA) for
piracy in the Indian Ocean have been reduced.
o The High Risk Area reflects the area where the
threat from piracy exists.
o The HRA is set by industry group of shipping and oil
industry organisations (BIMCO, International
Chamber of Shipping (ICS), INTERCARGO, INTERTANKO and the Oil Companies International Marine Forum
(OCIMF)).
o The purple area referred in the infographic, earlier part of HRA, now comes under the Voluntary Reporting
Area (VRA).
• Among the seafarers affected from piracy in this region, around half are from the Philippines, followed by
India, Ukraine and Nigeria.
Global Situation vis-a-vis privacy: One Earth Future Report
One Earth Future produces a report stating the global annual
State of Maritime Piracy. The 2019 report states that – “While
attacks have been falling substantially in some regions of the
world, in West Africa they've been on the rise and are now more
frequent than anywhere else.”
• In 2018, there were 112 piracy incidents in West African
waters.
• In Asia, the Malacca Strait, between Malaysia and
Indonesia, experienced a high number of attacks in 2015.
Concerted action by regional naval forces has reduced the
problem there, but piracy still persists.
• Attacks against shipping in the Caribbean and off the coast of Latin American have risen. Venezuela in particular has
become a hotspot for piracy particularly due to economic and political instability.

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What are the efforts made by the Indian Government to counter piracy in the region?
A large percentage of India’s trade, including oil and fertilisers, passes through the Gulf of Aden. The estimates
suggest that, Indian imports through the Gulf of Aden route valued in the order of USD 50 Billion and exports at
USD 60 Billion. The safety and unhindered continuity of maritime trade, through ships that use this route, is a
primary national concern as it directly impacts our economy. In the light of this, following steps have been taken
by the Government:
• Escort and protection: The Indian Navy commenced anti-piracy patrols in the Gulf of Aden from 2008.
o Indian Naval and Coast Guard ships have also been deployed in piracy prone areas nearer the Indian
coast. Around 1000 plus ships of various nationalities have been escorted and more than 40 piracy
attacks prevented by Indian forces till date.
o The Director General Shipping has launched a web-based registration service where merchant ships can
register with DG Shipping in order to avail of the escort facility provided by Indian Naval ships in the Gulf
of Aden.
• Global coordination: By participating in the multilateral for a setup to combat piracy.
o India is an active participant of various mechanisms like “Shared Awareness and De-confliction (SHADE)”
that have been established to facilitate sharing of information.
o India, Japan and China (all three nations operate independently) have agreed to coordinate patrols
thereby ensuring an effective and optimum use of the combined maritime assets to escort ships,
especially in the Internationally Recommended Transit Corridor established for use by all merchant ships
in the Gulf of Aden.
What are the efforts made by the International community to counter piracy in the region?
• Contact Group on Piracy off the Coast of Somalia: It was established in 2009 as a voluntary, ad hoc
international forum to coordinate international efforts in the fight against piracy off the coast of Somalia.
o As of now, over 60 nations and international organizations participate in the CGPCS.
• Maritime Security Programme (MASE): It is a European Union-funded programme to promote Maritime
Security in Eastern and Southern Africa and Indian Ocean. Under MASE, the Indian Ocean Commission (IOC)
has established a mechanism for surveillance and control of the Western Indian Ocean with two regional
centres in Madagascar and Seychelles.
• Maritime Crime Programme (MCP) - Indian Ocean: The Indian Ocean team within the United Nations Office
on Drugs and Crime’s (UNODC) Maritime Crime Programme assists states in the Indian Ocean region to
enhance and coordinate their efforts to combat maritime crime, with a focus on criminal justice capacity
building. Following can be cited as its key facets:
o Regional "Piracy Prosecution Model": It provides a 'legal finish' to counter-piracy operations. Under this
model, willing prosecuting States are first required to ensure they have the necessary legislation in place
to prosecute piracy domestically. Prosecuting States then formalize transfer agreements with naval forces
operating counter-piracy patrols in the Indian Ocean region.
o Piracy Prisoner Transfer Programme: It aims to facilitate the transfer of consenting persons convicted of
piracy in regional States to UNODC supported prisons in Somalia to serve the remainder of their sentences.
o Activities beyond counter-piracy support: MCP Indian Ocean programme continues to work with regional
States to enhance their capacity to combat a wide range of maritime crimes like drug trafficking.
• Other important regional efforts:
o African Union’s Lomé Charter: The African Charter on Maritime Security, Safety and Development in
Africa, also known as the Lomé Charter, was signed in 2016 by heads of state and governments of African
Union (AU) member states.
o Yaoundé Code of Conduct: The document brings together signatory nations from West and Central Africa
with an intention to cooperate to the fullest possible extent in the repression of transnational organized
crime in the maritime domain, maritime terrorism, IUU fishing, and other illegal activities.
Addressing the root cause: The way forward
In the recent past, there have been notable successes in counter-piracy efforts in the Indian Ocean Region. But
the root cause of piracy problem i.e. poverty, lack of employment opportunities in Somalia’s coastal communities,
as well as a lack of legal, governance and maritime infrastructure have not been adequately addressed.

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The long-term success of counter-piracy measures depends Learning from Puntland State of Somalia
on a stable and unified Somali state. This can be achieved by: • Puntland has been successfully fighting piracy
since 2008.
• A more coherent regional effort to address smuggling
• Once a center of pirate activity, the federal
would help stop the money flow that fuels these groups.
state has taken proactive and effective
• Capacity building of Somalia's Navy, so that dependency counter-piracy measures like establishing a
on foreign navies and need for international support maritime police force – to drive away pirate
progressively decreases. groups and secure the coast.
• Comprehensive counter-piracy efforts must keep the
pressure on pirate groups while addressing the root causes that enable these networks to emerge.

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5. ENVIRONMENT
5.1. NAMAMI GANGE MISSION
Why in news?
Prime Minister recently inaugurated 6 mega
development projects in Uttarakhand under the
Namami Gange Mission.
More about news
• Six sewage treatment plants were
inaugurated at Haridwar, Rishikesh, Muni-ki-
Reti and Badrinath worth over Rs 500 crore.
o Haridwar-Rishikesh zone contributes
about 80% wastewater load into the River
Ganga.
• Ganga Avalokan Museum was also
inaugurated which is the first of its kind on the
River Ganga at Haridwar.
o Museum would be a special attraction to
pilgrims and it would further enhance the
understanding of the heritage associated
with Ganga
About Namami Gange Mission
• It is an Integrated Conservation Mission for river Ganga, approved as ‘Flagship Programme’ by the Union
Government in 2014 with budget outlay of Rs.20,000 Crore.
• It is being implemented by the National Mission for Clean Ganga (NMCG), and its state counterparts—State
Programme Management Groups. Status of Namami Gange Mission
o NMCG is registered as a society under the • National Mission for Clean Ganga (NMCG) has so far
Societies Registration Act 1860. It acts as managed to spend just 29% of the sanctioned budget to
implementation arm of National Council complete 37% of the projects.
for Rejuvenation, Protection and • A bulk of the projects sanctioned, 152, pertain to putting in
Management of River Ganga (referred as place sewage infrastructure, like sewage treatment plants
National Ganga Council). (STPs) — one of the most crucial components to keep the
o The aims and objectives of NMCG is to river clean.
accomplish the mandate of National o Of these 152 STPs, only 46 have been completed as of
January, 2020.
Ganga River Basin Authority (NGRBA)
✓ To ensure effective abatement of pollution and rejuvenation of the river Ganga by adopting a river
basin approach to promote inter-sectoral co-ordination for comprehensive planning and management
and
✓ To maintain minimum ecological flows in the river Ganga with the aim of ensuring water quality and
environmentally sustainable development.
• Under the Environment (Protection) Act, 1986, a five- tier structure has been envisaged at national, state and
district level to take measures for prevention, control and abatement of environmental pollution in Ganga
o National Ganga Council under chairmanship of Prime Minister (replaced National Ganga River Basin
Authority).
✓ NGC would have on board the chief ministers of five Ganga basin states—Uttarakhand, Uttar Pradesh
(UP), Bihar, Jharkhand and West Bengal—besides several Union ministers and it is supposed to meet
once every year.
o Empowered Task Force (ETF) on river Ganga under chairmanship of Union Minister of Jal Shakti.
o National Mission for Clean Ganga (NMCG).

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 o State Ganga Committees which would be the nodal agency to implement the programmes in a state.
Besides, these committees would conduct safety audits of the river and take remedial measures.
o District Ganga Committees in every specified district abutting river Ganga and its tributaries in the states
• Implementation of the program has been divided into entry-level activities (for immediate visible impact),
medium term activities (to be implemented within 5 years of time frame), and, long-term activities (to be
implemented within 10 years)
o Entry-level activities includes river surface cleaning to address the floating solid wastes; rural sanitation
to arrest the pollution (solid & liquid) entering through rural sewage drains and construction of toilets;
etc.
o Medium-term activities will focus on arresting the municipal and industrial pollution entering into the
river.
o Under the long-term, providing adequate flow to the river is envisioned through determination of e-flow,
increased water-use efficiency, and improved efficiency of surface irrigation.
• Main pillars of the mission are:
o River front development
o Conservation of Aquatic life and biodiversity
o Improvement of coverage of sewerage infrastructure in habitations on banks of Ganga.
o River Surface cleaning for collection of floating solid waste from the surface of the Ghats and River
o Afforestation
o Industrial Effluent Monitoring
o Development of Ganga Gram
✓ To develop model village, that will exhibit itself as comprehensive and harmonious package of
economic, historic, cultural and sanitized unit, on banks of Ganga, which is self –sustaining.
o Creating Public Awareness
• Ganga River Basin Management Plan: The Plan is being prepared with the objectives of taking comprehensive
measures for restoration of the wholesomeness of the Ganga ecosystem and improvement of its ecological
health, with due regard to the issue of competing water uses in the river basin.
o The wholesomeness of the river can be grasped in terms of four defining concepts: “Aviral Dhara”
(Continuous Flow”), “Nirmal Dhara”(“Unpolluted Flow”), Geologic Entity, and Ecological Entity.
• 4-battalion Ganga EcoTask Force has been created to spread awareness about pollution and protecting the
river.
Issues faced in cleaning ganga river
• Inadequate Sewage treatment: In the Ganga basin approximately 12,000 million litres per day (mld) sewage
is generated, for which presently there is a treatment capacity of only around 4,000 mld.
• Decreased ecological flow: E-flow or Environmental Flow refers to the minimum flow of water considered
necessary for protecting the structure and function of an ecosystem and its dependent species
o Due to restrictions and decrease in flow, the velocity of water decreases and siltation increases and
therefore minerals of the water settle down at the riverbed.
o The decrease in flow has led to an increase in groundwater extraction for various uses.
• Sludge control: About 180 mld sludge would be generated in five Ganga basin states when they become ODF
and if proper faecal sludge management is not in place, it would invariably pollute the Ganga.
• Cost overruns: An IIT report predicted the cost of treating sewerage to be about 1 paisa per litre at 2010 price
levels. However, the cost would escalate due to the fact that deadlines are not met.
o Clean Ganga fund is a fund under which entities or a commoner can contribute for the Ganga clean up.
However, NMCG could not utilise any amount out of the Clean Ganga Fund and the entire amount was
lying in banks due to non-finalisation of action plan.
• Lack of coordination: The cleaning of the Ganga requires seamless coordination between the agencies
responsible for carrying out different tasks. Jal Shakti ministry signed MOUS with 10 ministries for better
implementation of Namami Gange. However, till date no detail is available as to how these ministries are
functioning for better convergence.

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Way Forward
• Organic agriculture: The cumulative use of pesticides has doubled in the last one decade and most of it runs
off in our rivers. Agriculture along the entire riverbed should be organic.
• Integration of strategies: Many of the strategies (river-linking, riverfront development projects, access to
toilets, making villages open defecation free, piped water supply in rural areas, to name a few) need to
integrate long-term ecological and sustainability goals.
• Promote decentralised sewage treatment plants (dSTP) at the colony level. Reuse treated wastewater for
irrigation and empty into natural drains. For all upcoming cities, smart cities and for those, whose master plans
are not in place, earmark land for dSTPs.
• Develop and restore local storages (ponds, lakes, wetlands) as permanent solutions to both floods and
droughts. Only 10 per cent of water received during monsoon rainfall is harvested. Restoration of ponds, lakes
and wetlands should be an integral part of river restoration and conservation strategy
• Restoring lower order streams and smaller tributaries in the Ganga Basin.
• Restore base flows through groundwater recharge: There is a need to have robust planning and regulation of
withdrawal and recharge of groundwater across all orders of the river streams to make rivers perennial.

5.2. GROUNDWATER EXTRACTION IN INDIA

Why in News? Groundwater usage in India
The Central Ground Water Authority • India uses the most groundwater in the world, extracting 253 bcm
(CGWA) under the Jal Shakti Ministry (billion cubic metres) per year. This is approximately 25% of the
global groundwater extraction.
recently issued the latest guidelines to
• Out of the total 6,881 assessment units, 17% have been
regulate the extraction of groundwater.
categorised as ‘over-exploited’, 5% as ‘critical’, 14% as ‘semi-
Background critical’ units and 63% as ‘safe’.
o Majority of the over-exploited units are concentrated in parts
• New groundwater guidelines were of Punjab, Haryana, Delhi, western UP, Rajasthan, Gujarat,
necessitated because the guidelines Karnataka, Andhra Pradesh, Telangana and Tamil Nadu.
issued by the Centre on December 12, • According to the country’s minor irrigation census 2013-14,
2018 were struck down by the National 87.86% of groundwater wells are owned by marginal, small and
Green Tribunal in January 2019. semi-medium farmers having land holding up to four hectares.
o Since then, there were no
guidelines under which No Objection Certificate (NOC) for groundwater withdrawal can be issued.
• The revised guidelines are an improvement over the 2018 norms, which did not ban granting NOC to industries
for extracting groundwater in over-exploited areas, did not levy environment compensation and hefty penalty
for violations.
• New Guidelines have pan India applicability.
New Guidelines
• No objection certificate (NoC): It is mandatory for new and existing industries, group housing societies,
infrastructure projects, mining projects and bulk water suppliers abstracting groundwater to get a no objection
certificate (NOC) for withdrawal of groundwater.
• Over exploited areas: NoCs in ‘over-exploited’ areas will only be granted to micro, small and medium
enterprises (MSME).
o Over-exploited’ areas as those where the groundwater development is more than 100%, that is, the annual
groundwater consumption is more than its recharge, according to the Central Ground Water Board
(CGWB).
• Exemption from getting NoC: The guidelines have exempted 5 categories from getting an NOC:
o individual domestic consumers in both rural and urban areas for drinking water and domestic uses.
o rural drinking water supply schemes;
o Armed Forces Establishments and Central Armed Police Forces establishments in both rural and urban
areas;
o agricultural activities;
o micro and small enterprises drawing groundwater less than 10 cubic m/day.

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• Abstraction and restoration charges: Under the new conditions, such NOC holders will now have to pay
groundwater “abstraction and restoration charges” based on the quantum of extraction unlike old provision
where they had to just pay a nominal lumpsum amount.
• Residential societies will have to install sewage treatment plants (STPs) for getting NOCs if their groundwater
requirement is more than 20 cubic m /day.
o Under the condition, water from STPs will be utilised for toilet flushing, car washing, gardening, etc
• Annual water audits: It makes annual water audits compulsory for industrial users apart from mandating
impact assessment for granting no-objection certificates (NOCs) for groundwater extraction.
• Registration of Drilling Rigs: State/UT Governments shall be responsible for registering drilling rigs operating
within their jurisdiction and for maintaining the database of wells drilled by them.
• Abstraction of Saline ground water would be encouraged: Such industries shall be exempted from paying
ground water abstraction charges.
• Protection of Wetland Areas: Projects falling within 500 m. from the periphery of demarcated wetland areas
shall mandatorily submit a detailed proposal indicating that any ground water abstraction by the project
proponent does not affect the protected wetland areas.
o Furthermore, before seeking permission from CGWA, the projects shall take consent/approval from the
appropriate Wetland Authorities to establish their projects in the area.
• Environmental Compensation: Extraction of groundwater for commercial use by industries, infrastructure
units and mining projects without a valid NOC will be considered illegal and they will be liable to pay
Environmental Compensation for groundwater extracted.
o The minimum compensation will be at least Rs 1 lakh.
• Penalty: Non-compliance of NOC conditions may attract a penalty between Rs 50,000 and Rs 10 lakh.
o Guidelines authorise district
authorities to take enforcement Related bodies
measures like sealing of abstraction • Central Ground Water Authority (CGWA): It has been
constituted under Environment (Protection) Act, 1986 to
structures and prosecuting those
regulate and control development and management of ground
violating the NOC conditions. water resources in the country.
• Time period: The NOC issued under the • Central Water Commission (CWC): It is an attached office of
new guidelines will be valid for 2-5 years the Ministry of Jal Shakti. The Commission is entrusted with the
depending on the entity. general responsibilities of initiating, coordinating and
• States/UTs are advised to review their furthering in consultation of the State Governments
free/subsidized electricity policy to concerned, schemes for control, conservation and utilization of
farmers, bring suitable water pricing policy water resources throughout the country, for purpose of Flood
and may work further towards crop Control, Irrigation, Navigation, Drinking Water Supply and
Water Power Development.
rotation/diversification/other initiatives to
Other initiatives
reduce overdependence on groundwater. • National Water Policy 2012 which proposes a framework for
Concerns in Guidelines creation of a system of laws and institutions and for a plan of
action with a unified national perspective.
• Exemption of the agriculture sector: As • National Aquifer Mapping and Management Programme: It
per official data, 90% of groundwater is was initiated as a part of the Ground Water Management and
used for irrigation and 10% by domestic Regulation scheme to delineate and characterize the aquifers
and industrial consumers. Excluding to develop plans for ground water management.
agriculture sector is bigger concern. • Atal Jal Yojana: It aims to conserve groundwater in seven
• Conflict between state and centre: Water states facing the biggest declines in aquifer levels mainly due
is a state subject; the guideline is expected to over-extraction for water-intensive crops.
o These are Maharashtra, Haryana, Karnataka, Rajasthan,
to generate contestation at a time when
Madhya Pradesh, Uttar Pradesh and Gujarat.
the statutory power between states and
• Paani Bacho, Paise Kamao” (save water, earn money) scheme:
the Centre is already under great strain. It was launched by Punjab State Power Corporation Limited
• Implementation issues: The (PSPCL) to provide direct benefit transfer for electricity to
implementation would be difficult as it will agricultural consumers. Farmers get Rs 4 as direct benefit for
raise conflict with single-window clearance each unit of electricity saved.
of applications for establishing new
industries.

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• Impact of mining projects: Mining projects are counted in the regulatory bill and are required to pay a nominal
groundwater abstraction fees. Negative hydrological impacts of mining are far more serious than industries
and should have been cateogorised separately with detailed guidelines.
• Not addressing depletion of groundwater: It will not stop further depletion of groundwater as uninterrupted
use of groundwater in ‘critical’ and ‘semi-critical’ areas after paying ‘abstraction and restoration’ charges will
defeat the purpose of conservation.
Way forward
• Incentivize: Incentivise investors to use bulk volumes of rejected groundwater (grey water, black water)
available in urban, semi-urban areas for recycling and reuse.
o An incentive for not pumping groundwater to enhance the instrinsic value of land, improving ecological
balance and overall valuation is a distinction that needs serious evaluation.
• Increase water recycling: Water-recycling, especially through the reclamation of waste-water, needs to be
done on the front-foot.
o While Israel recycles nearly 90% of its water, India’s recycling capacity stands at just 30%. The problem is
worse at the household level, where not even 5% of the water used is recycled.
• Real time data: The groundwater estimates need to be dumped and migrated to real time modelling.
o The first step in this direction is a national well census that covers all wells adopting crowd-sourcing
technology. Based on the authenticated well census, the monitoring networks recalibrate supported high-
frequency data generation.
• Capping water use: Abuse of groundwater for irrigation can no more be pushed under the carpet and needs
to be addressed upfront by defining the maximum water footprint for various crops.

5.3. GLOBAL BIODIVERSITY OUTLOOK

Why in News?
About Convention on Biological Diversity (CBD)
Recently, Fifth Global Biodiversity • It entered into force in 1993. It has 3 main objectives:
Outlook (GBO-5) report was released. o The conservation of biological diversity
o The sustainable use of the components of biological diversity
About GBO
o The fair and equitable sharing of the benefits arising out of the
• It is a flagship publication of the utilization of genetic resources
Convention on Biological Diversity • It has been ratified by 196 nations, including India.
(CBD). • CBD has two supplementary agreements, or protocols –
o Cartagena Protocol on Biosafety governing the movements of
• It is a periodic report that
Living Modified Organisms.
summarizes the latest data on the
o Nagoya Protocol on Access to Genetic Resources and the Fair and
status and trends of biodiversity Equitable Sharing of Benefits Arising from their Utilization (ABS).
and draws conclusions relevant to
the further implementation of the CBD.
• GBO-5 provides global summary of progress towards the Aichi Biodiversity Targets and is based on a range
of indicators, research studies and assessments as well as the national reports provided by countries on their
implementation of the CBD.
• Progress made in Aichi Biodiversity Targets in past decade: At the global level none of the 20 targets have
been fully achieved, though six targets have been partially achieved (Targets 9, 11, 16, 17, 19 and 20).
Suggestion to achieve 2050 Vision for Biodiversity:
• Land and forests transition: It involves conserving of intact ecosystems, restoring ecosystems, combating and
reversing degradation, and employing landscape level spatial planning to avoid, reduce and mitigate land-use
change.
• Sustainable freshwater transition: An integrated approach guaranteeing the water flows, improving water
quality, protecting critical habitats, controlling invasive species and safeguarding connectivity to allow the
recovery of freshwater systems from mountains to coasts.

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• Sustainable fisheries and About Aichi Biodiversity Targets
oceans transition: Protecting • In 2010, at Nagoya, Parties to the Convention on Biological Diversity (CBD)
and restoring marine and adopted the Strategic Plan for Biodiversity 2011–2020, a ten-year
coastal ecosystems, rebuilding framework for action by all countries and stakeholders to safeguard
fisheries and managing biodiversity and the benefits it provides to people.
aquaculture and other uses of • As part of the Strategic Plan 20 ambitious but realistic targets, known as
the oceans to ensure the Aichi Biodiversity Targets, were adopted.
sustainability, and to enhance
food security and livelihoods.
• Sustainable agriculture
transition: Redesigning
agricultural systems through
agroecological and other
innovative approaches to
enhance productivity while
minimizing negative impacts on
biodiversity.
• Sustainable food systems
transition: With a greater
emphasis on a diversity of
foods, mostly plant-based, and
more moderate consumption of
meat and fish, as well as
dramatic cuts in the waste
involved in food supply and
consumption.
• Cities and infrastructure
transition: Deploying ‘green
infrastructure’ and making
space for nature within built
landscapes to improve the
health and quality of life for
citizens and to reduce the
environmental footprint of cities and infrastructure.
• The 2050 Vision for Biodiversity was adopted as
• Sustainable climate action transition: Employing
part of the Strategic Plan for Biodiversity 2011-
nature-based solutions, alongside a rapid phase-out of 2020.
fossil fuel use, to reduce the scale and impacts of • The vision of this Strategic Plan is a world of
climate change. “Living in harmony with nature” where “By 2050,
• Biodiversity-inclusive One Health transition: biodiversity is valued, conserved, restored and
Managing ecosystems, including agricultural and urban wisely used, maintaining ecosystem services,
ecosystems, as well as the use of wildlife, through an sustaining a healthy planet and delivering
integrated approach, to promote healthy ecosystems benefits essential for all people.
and healthy people.

5.4. THE LIVING PLANET REPORT 2020 (LPR)

Why in News?
Recently, World Wildlife Fund (WWF), a leading organization in wildlife conservation and endangered species,
released The Living Planet Report 2020 (LPR) along with the Living Planet index (LPI).
About Living Planet Report
• LPR, released every two years, is a comprehensive study of trends in global biodiversity and health of the
planet.

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• Key Findings About Living Planet Index (LPI)
o It shows an average 68% • LPI is a measure of the state of global biological diversity based on
decrease in population sizes of population trends of vertebrate species from around the world.
mammals, birds, amphibians, • LPI has been adopted by the Convention of Biological Diversity
reptiles and fish between 1970 (CBD) as an indicator of progress towards its 2011-2020 target to
and 2016. 'take effective and urgent action to halt the loss of biodiversity.
o Since the industrial revolution, • The LPI tracks the abundance of almost 21,000 populations of
human activities have mammals, birds, fish, reptiles and amphibians around the world.
• The LPI includes data for threatened and non-threatened species.
increasingly destroyed and
• The LPI doesn’t show numbers of species lost or extinctions.
degraded forests, grasslands,
wetlands and other important ecosystems, threatening human well-being
✓ 75% of Earth’s ice-free land surface has been significantly altered.
✓ More than 85% of global wetlands have been lost. India has lost nearly one-third of its natural
wetlands
✓ The 3,741 monitored populations – representing 944 species of mammals, birds, amphibians, reptiles
and fishes – in the Freshwater Living Planet Index have declined by an average of 84%.
o Destruction of ecosystems has led to 1 million species (500,000 animals and plants and 500,000 insects)
being threatened with extinction.
o Most important direct driver of biodiversity loss in terrestrial systems has been land-use change, primarily
the conversion of pristine native habitats (forests, grasslands and mangroves) into agricultural systems;
while much of the oceans have been overfished.
o Largest wildlife population loss has been in Latin America at an alarming rate of 94%.
o Since 1970, our Ecological Footprint has exceeded the Earth’s rate of regeneration.

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6. SOCIAL ISSUES
6.1. THE HUMAN CAPITAL INDEX 2020
Why in news?
The World Bank has recently released the report titled ‘The Human Capital Index 2020 Update: Human Capital in
the Time of COVID-19’.
About the report
• The 2020 Human Capital Index update includes health and education data for 174 countries (additional 17
counties relative to the 2018 edition) — covering 98 per cent of the world’s population — up to March 2020.
• Since the cutoff date for the 2020 update is March 2020, before the consequences of COVID-19, the HCI 2020
can be a baseline to track some of the effects of COVID-19 on human capital.
What is Human Capital?
• Human capital consists of the knowledge, skills, and health that people accumulate over their lives, enabling
them to realize their potential as productive members of society.
• Human capital is intangible and is endogenously built in the body and mind of its owner. Only the services of
the human capital are sold.
• Sources of human capital formation include- Expenditure on education Health, on the job training, study
programmes for adults, Migration in search of jobs with better salaries, expenditure on information relating
to the labour market and other markets etc.
• Significance of Human Capital
o For individuals and families
▪ Higher earnings and improved standard of living
▪ Generational returns: Benefits of human capital transcend private returns, extending to others and
across generations.
o For societies
▪ Building social capital: Investing in human capital enhances social cohesion and equity while
strengthening people’s trust in institutions. Its yield productive outcomes in all aspects of society, for
example-
✓ An educated person can effectively take part in a democratic process and surveys typically find
that more educated people are more trusting of others.
✓ A healthy person, by maintaining personal hygiene and sanitation, stops the spread of contagious
diseases and epidemics.
▪ Incremental results on Human Capital: Societies need sufficient human capital in the form of
competent people who have themselves been educated and trained as professors and other
professionals to produce other human capital.
o For countries
▪ Human capital complements physical capital in the production process as people with higher human
capital can use the physical capital more effectively and adapt faster to technological change.
▪ Education provides knowledge to understand changes in society and scientific advancements, thus,
facilitate inventions and innovations.
▪ People are more productive when they are healthier and appropriately trained. This enhanced
productivity of human beings contributes substantially towards increasing labour productivity and
economic growth of a nation.
▪ It is a central driver of sustainable growth and poverty reduction.
Key findings
• Global HCI: Globally, a child could expect to attain an average of 56 percent of her potential productivity as a
future worker.
• Considerable variation across regions and economies: For instance, a child born in a low-income country has
an HCI of 0.37 as compared to 0.7 in a high-income country.

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• Measuring Learning Poverty: It is the share of About Human Capital Index (HCI)
10-year-olds who cannot read and understand • HCI is an international metric that benchmarks key
a simple story. Around 53 percent of children in components of human capital across countries.
low- and middle-income countries suffer from • It was launched in 2018 by the World Bank as part of the
learning poverty. Human Capital Project (HCP).
• Disaggregation of the HCI by gender: Human • The index measures the human capital that a child born
capital is slightly higher among girls than boys in today can expect to attain by her 18th birthday,
most countries. highlighting how current health and education outcomes
shape the productivity of the next generation of workers.
• Underutilization of Human capital among
• The HCI consists of three components:
women: The gender gap in employment rates o Survival: from birth to school age, measured using
(a basic measure of utilization) is 20 percentage under-5 mortality rates;
points on average worldwide, but exceeds 40 o School: measured using learning-adjusted years of
percentage points in South Asia and the Middle school which combines a measure of two factors-
East and North Africa. ▪ the number of years of school a child born today
o Underutilization means that future worker can expect to attain by age 18 given prevailing
may not be able to find a job, and even if enrollment rates
she can, it might not be a job where she can ▪ the quality of education based on international
fully use her skills and cognitive abilities to student achievement tests
o Health: captured by two proxies-
increase her productivity.
▪ adult survival rates, defined as the fraction of
o This suggests that, while gender gaps in 15-year-olds who survive until age 60, and
human capital in childhood and ▪ the rate of stunting for children under age 5
adolescence have closed (especially for • HCI ranges from zero to one, and an HCI value of, for
education), major challenges remain to instance, 0.5 implies that a child born today will only be
translate these gains into opportunities for 50% as productive as a future worker as she would be if
women. she enjoyed complete education and full health.
• Human capital gains in the previous decade:
On average, the HCI increased by 2.6 points between 2010 and 2020.
• India Specific findings
o India ranked at 116th from among 174 countries as compared to 115 out of 157 countries in 2018.
o India’s HCI score increased to 0.49 from 0.44 in 2018.
o India is among the only two countries (other being Tonga), where child survival rates are higher for girls
than for boys.
o India experienced a 13-percentage-point decline in stunting rates for children under 5 from 48 percent
in 2010 to 35 percent in 2020.

6.2. AYUSHMAN BHARAT- PRADHAN MANTRI JAN AROGYA YOJANA

(PMJAY)
Why in News?
Centre’s flagship Ayushman Bharat health insurance programme has completed two years.
About Ayushman Bharat
• It was launched in 2018 as recommended by the National Health Policy 2017, to achieve the vision of Universal
Health Coverage (UHC).
• It is an attempt to move from sectoral and segmented approach of health service delivery to a
comprehensive need-based health care service.
• This scheme aims to undertake path breaking interventions to holistically address the healthcare system
(covering prevention, promotion and ambulatory care) at the primary, secondary and tertiary level.
• It comprising of two inter-related components, which are –
o Health and Wellness Centres (HWCs)
o Pradhan Mantri Jan Arogya Yojana (PM-JAY)
Health and Wellness Centres (HWCs)
• In February 2018, the Government of India announced the creation of 1,50,000 HWCs by transforming the
existing Sub Centres and Primary Health Centres.

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• These centres are to deliver Comprehensive
Universal health coverage (UHC)?
Primary Health Care (CPHC) bringing
• Universal health coverage (UHC) is about ensuring that
healthcare closer to the homes of people.
people have access to the health care they need without
• They cover both, maternal and child health suffering financial hardship. UHC embodies three related
services and non-communicable diseases, objectives:
including free essential drugs and diagnostic o Equity in access to health services - everyone who needs
services. services should get them, not only those who can pay for
Pradhan Mantri Jan Arogya Yojana (PM-JAY) them;
o The quality of health services should be good enough to
• PM-JAY is the largest health assurance improve the health of those receiving services;
scheme in the world which aims at providing o People should be protected against financial-risk,
a health cover of Rs. 5 lakhs per family per ensuring that the cost of using services does not put
year for secondary and tertiary care people at risk of financial harm.
hospitalization to over 10.74 crores poor • It is a catalyst for socio-economic development and a key
and vulnerable families (approximately 50 contributor to equity, social justice inclusive economic
crore beneficiaries) that form the bottom growth and ending extreme poverty.
40% of the Indian population. • It has an important impact on other SDGs. For example, Goal
o PM-JAY was earlier known as the 1 (end poverty), Goal 4 (quality education), Goal 5 (gender
equality), Goal 8 (decent work and economic growth), Goal 9
National Health Protection Scheme
(infrastructure), Goal 10 (reduce inequality), Goal 16 (justice
(NHPS) before being rechristened. It and peace), and Goal 17 (partnerships).
subsumed the then existing Rashtriya
Swasthya Bima Yojana (RSBY) which had been launched in 2008.
o The benefits of INR 5,00,000 are on a family floater basis which means that it can be used by one or all
members of the family.
• The households included are based on the deprivation and occupational criteria of Socio-Economic Caste
Census 2011 (SECC 2011) for rural and urban areas respectively.
• PMJAY provides cashless and paperless access to services for the beneficiary at the point of service in any
(both public and private) empanelled hospitals across India.
o Beneficiaries get an e-card that can be used to avail cashless services at an empaneled hospital (public
or private), anywhere in the country.
o It covers up to 3 days of pre-hospitalization and 15 days post-hospitalization expenses such as
diagnostics and medicines.
o There is no restriction on the family size, age or gender.
o Public hospitals are reimbursed for the healthcare services at par with the private hospitals.
• PM-JAY is fully funded by the Government and cost of implementation is shared between the Central and
State Governments.
o States are free to choose the modalities for Achievements of Ayushman Bharat PM-JAY in two
years
implementation. They can implement the scheme
• 32 States and UT implemented the scheme.
through insurance company or directly through the
• 1.26 crore hospital treatments (52% provided
Trust/ Society or mixed model. by private hospitals)
• At National level, National Health Authority (NHA) has • 23,311 hospitals empaneled (45% private)
been set up to implement the scheme. • 12.6 crore e-cards issued
• Treatment for COVID-19 can be availed free of cost by • 1,25,454 portability cases
eligible beneficiaries.
Significance of PMJAY
• Help India progressively achieve Universal Health Coverage (UHC) and Sustainable Development Goals (SDG).
• Ensure improved access and affordability, of quality secondary and tertiary care services through a
combination of public hospitals and well measured strategic purchasing of services in health care deficit areas,
from private care providers, especially the not-for profit providers.
• Significantly reduce out of pocket expenditure for hospitalization. Mitigate financial risk arising out of
catastrophic health episodes and consequent impoverishment for poor and vulnerable families.
• Strengthen public health care systems through infusion of insurance revenues.
• Enable creation of new health infrastructure in rural, remote and under-served areas.
• Improvement in population-level productivity and efficiency thus leading to improvement in quality of life.

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Issues with PMJAY
• Absence of Private Healthcare Infrastructure: Registry of Hospitals in Network of Insurance (ROHINI) data
suggests that only 3% of private hospitals are eligible for the Ayushman Bharat scheme.
o On average, there are only 1.28 empanelled hospitals per one lakh population that can provide healthcare
to patients under the scheme. Further, empanelled hospitals lack the infrastructure required to treat
patients.
• A Push towards the Privatisation of Healthcare: Ayushman Bharat brings a fundamental transformation in
the existing healthcare system which favour privatisation. Private sector is expected to provide all types of
care and treatments while government’s role would be minimal, to provide financial protection.
• Corruption: Profit motive and corruption at private hospital emerge as an implementation challenge for the
scheme.
o In many cases, private hospitals involve in enrolment of ghost beneficiaries, conversion of OPD patient
into an IPD patient, deliberate blocking of higher priced package, treatment of diseases for which a
hospital is not equipped for, doctors performing unnecessary procedures, hospitals charging fees even
though it’s a cashless scheme.
• Biased against poor state: Poor states lack a network of good private hospitals where the poor can easily go
to avail free tertiary care. Also, these states cannot provide for their share of funds (40% of the total
expenditure), which keeps them deprived of the money allocated by the Union government.
• Widening inequity: There is a concern that in the long run, the health infrastructure in the better performing
states will get further boost utilizing resources from the poor-performing states, thus widening the inequity
between states.
• Policy framework: It has been noted that the AB–PMJAY scheme provides coverage of medicines post
discharge up to 15 days only. A large number of patients, particularly cancer patients, require long-term
medication on an outpatient basis.
• Budgetary allocation and utilisation of funds: PM-JAY received ₹6,400 crore in FY 2020-21 from the Centre.
In 2019-20, too, the same amount was allocated.
o Allocation for the PM-JAY scheme has not increased because the Centre is unable to spend the allocated
amount last year.
Way forward
• Government needs to ensure that benefits of Ayushman Bharat are distributed equitably between well-off
and poorer states who may need it the most.
• Government should exclude public hospital from PMJAY as services there are already free of cost.
• Strict action should be taken against hospitals indulging in unethical practices
• Continuous Quality Improvement efforts to be undertaken in PM-JAY network hospitals, so as to ensure that
appropriate and consistent quality services are delivered to the beneficiaries.
• Real time data should be available in the public domain for researchers to analyse, and make
recommendations to plug gaps in the scheme. Similarly, state-level data on the status of health and wellness
centres needs to be in the public domain too.

6.3. NATIONAL MEDICAL COMMISSION

Why in news?
Recently, National Medical Commission (NMC) was constituted which replaces Medical Council of India (MCI).
About National Medical Commission (NMC)
• NMC has been setup under National Medical Commission Act (NMC Act), 2019 which repealed the Indian
Medical Council Act, 1956.
o It was recommended by Prof. Ranjit Roy Chaudhury committee (2015).
• Composition: NMC will consist of 25 members, appointed by the central government. A Search Committee
will recommend names to the central government for the post of Chairperson, and the part time members.
• Members of NMC
o Chairperson (must be a medical practitioner),
o Presidents of the Under-Graduate and Post-Graduate Medical Education Boards,
o Director General of Health Services, Directorate General of Health Services,

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 o Director General, Indian Council of Other key features of NMC Act
Medical Research, and • Act seeks to provide for a medical education system which
o five members (part-time) to be elected ensures:
by the registered medical practitioners o availability of adequate and high-quality medical
from amongst themselves from states professionals,
and union territories for a period of two o adoption of the latest medical research by medical
years. professionals,
o periodic assessment of medical institutions, and
• Functions of NMC
o an effective grievance redressal mechanism
o framing policies for regulating medical
• Under the Act, central government will constitute a Medical
institutions and medical professionals, Advisory Council. It will be the primary platform through
o assessing the requirements of which the states/union territories can put forth their views
healthcare related human resources and and concerns before the NMC.
infrastructure, • There will be a uniform National Eligibility-cum-Entrance
o ensuring compliance by the State Test for admission to under-graduate and post-graduate
Medical Councils of the regulations super-speciality medical education in all medical institutions
made under the Act, regulated under the Act.
o framing guidelines for determination of • There would be a common final year undergraduate
fees for up to 50% of the seats in private examination called the National Exit Test for the students
medical institutions and deemed graduating from medical institutions to obtain the license for
practice. This test will also serve as the basis for admission
universities which are regulated under
into post-graduate courses at medical institutions under the
the Act. Act.
• It supervises following autonomous boards
setup under the Act.
o Under-Graduate Medical Education Board and Post-Graduate Medical Education Board to set standards
and regulate medical education at undergraduate level and postgraduate level respectively.
o Medical Assessment and Rating Board for inspections and rating of medical institutions and
o Ethics and Medical Registration Board to regulate and promote professional conduct and medical ethics
and also maintain national registers of (a) licensed medical practitioners and (b) Community Health
Providers (CHPs).
• NMC may grant a limited license to certain mid-level practitioners who may prescribe specified medicines in
primary and preventive healthcare.
Positive aspects of NMC
• Transparency: Members of NMC will have to declare their assets at the time of assuming office and when
they leave. They will also have to submit a conflict of interest declaration.
• Independence in working: Members will have to serve a two-year cooling-off period after their tenure. This
could be waived by the government if required. MCI members could be re-nominated or re-elected. NMC
chairperson and others members nominated cannot be renominated.
• Separation of functions: Unlike MCI which has been criticised for concentration and centralisation of all
regulatory functions in one single body, NMC has four autonomous boards under it.
• Non-opaque functioning: Medical Assessment and Rating Board under NMC will give rating to all medical
colleges which will be available in public domain. This will prevent opaque functioning under MCI.
Concerns with NMC
• Lesser elected representatives: Compared to the 70% figure of elected representatives in the MCI, only 20%
members of the NMC will be elected representatives.
• Against federal setup: MCI’s decisions were not binding on state medical councils, NMC’s ethics board
exercises jurisdiction over state medical councils on compliance related to ethical issues.
• Limited representation of states: Previously, all the State governments had representation in MCI while in the
NMC, only few States in rotation will have representation. States’ representation is primarily in the medical
advisory council which is only advisory body.
• Greater control of executive: While action could be taken against the MCI president only on the direction of
a court, NMC Act enables the central government to remove the chairperson or any other member of the
NMC.

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• Absence of independent appellate body: Central government is the appellate authority for almost all
decisions taken by the commission and also, Centre has the power to give the commission and boards policy
directions.
• Absence of diverse stakeholders: Two-thirds of the members in the NMC are medical practitioners. Expert
committees have recommended that the regulator should consist of more diverse stakeholders in order to
reduce the influence of medical practitioners in regulating medical education and practice.
• Fee regulation: MCI had no powers to regulate fees. NMC will be “framing guidelines” for determining fees on
50% of seats in private colleges. NITI Aayog Committee (2016) was of the opinion that a fee cap would
discourage the entry of private colleges, thus, limiting the expansion of medical education in the country.
Conclusion
Despite limitations, NMC is a step forward, considering MCI was grappling with allegations of corruption, opaque
functioning, conflict of interest, lack of emphasis on medical ethics. Also, it failed to achieve objective of ensuring
adequate healthcare professionals and controlling cost of medical education. NMC is expected to ensure probity
in medical education, simplify procedures, enhance quality education and provide wider access to people for
quality healthcare.

6.4. VACCINE HESITANCY

Why in news?
Recently, in a study published in The Lancet, India ranked the highest among countries where people believed
vaccines to be effective with 84.26 per cent believing so in 2019.
Key findings of the survey
• The trend of vaccine hesitancy has increased in many countries between 2015 and 2019.
• Albania ranked the lowest with regard to vaccine effectiveness, with only 14.2 per cent people believing
vaccines were effective.
• Confidence in vaccines: The trend towards confidence in vaccines was decreasing in several countries overall
but most sharply in Afghanistan, Indonesia, Pakistan, the Philippines and South Korea.
About Vaccine Hesitancy
• As per WHO, Vaccine Hesitancy is defined as “reluctance or refusal to vaccinate despite the availability of
vaccines” and is influenced by factors such as complacency, convenience and confidence.
• In January 2019, the World Health Organization (WHO) listed vaccine hesitancy as among the top 10 threats
to global health.
• Implications:
o Some deadly diseases are making a comeback, decades after scientists had largely eliminated them with
vaccines. Recent outbreaks of the oldest vaccine-preventable diseases such as measles, pertussis,
diphtheria and polio in developed and developing countries call for global vigilance on immunisation
programmes.
o There were risks of vaccines against COVID-19 never reaching their potential, due to a continued inability
to quickly and effectively respond to public vaccine safety concerns, real or otherwise.
Vaccine Hesitancy in India
• Although India has been ranked highest with regard to people’s perception towards effectiveness of vaccines,
vaccine hesitancy has been a concern in India.
• Reasons:
o One major objection is lack of parental consent before the vaccine is given to children at schools.
o Interpretation of common side effects after immunization also shapes community perceptions. Post-
immunization adverse events, especially the rare occurrence of a child’s death, trigger apprehensions
about vaccine quality and safety.
o The inadequacy and inequities of the public health system resulting in reduced community trust.
• India commissioned a study on vaccine hesitancy after diseases long prevented by vaccines, such as diphtheria,
resurfaced in parts of the country.

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• Influenced by religious suspicions and rumors, mass community resistance surfaced in India’s northern region
of Uttar Pradesh and Bihar states even during polio campaigns before the country eradicated the disease in
2014.
• With the measles and rubella campaign underway in India, reports of parents refusing to vaccinate their
children have surfaced.
o Although almost all children in India are vaccinated against tuberculosis, and receive their birth dose of
polio vaccine, two out of five children (40%) do not complete their immunisation programme, according
to the ‘Health in India’ report recently published by the National Statistical Organisation (NSO).
Measures needed to tackle Vaccine Hesitancy
• Systematic assessment of the factors affecting uptake: WHO is developing a set of tools to support
programmes and partners to measure and address the reasons for under-vaccination, and to track consistent
and comparable data over time.
o In November 2018, a global expert group called ‘Measuring Behavioural and Social Drivers of Vaccination’
(BeSD) was established by WHO, in collaboration with core partners, to oversee development of these
tools, which is expected to be finalized in late 2020.
• Improving and sustaining uptake: In most cases, interventions should be dialogue based and directly targeted
to a specific under-vaccinated population group.
o By engaging collaboratively with health workers, caregivers/parents, and their families and communities,
one can generate the insights to develop better quality health services, systems, policies, and
communication strategies that support and enable recommended vaccination behaviours.
o Communities also need to be at the centre of drives to improve the quality of immunization and health
services, access and equity.
• Need to address misinformation: With social media playing a crucial role in spreading vaccine disinformation,
the commitment by Facebook to “reduce distribution” of vaccine misinformation might be helpful against
vaccine deniers.
Related News- Health in India report
• Released by National Statistical Organisation, the report is based on the 75th round of the National Sample Survey (July
2017-June 2018) on household social consumption related to health.
• The main objective of this survey was to gather basic quantitative information on the health sector: morbidity, profile
of ailments, role of government and private facilities in providing healthcare, expenditure on hospitalisation, maternity
and childbirth, the condition of the aged, etc.
• Key findings of the survey:
o Profile of ailments: About 31% of the hospitalised cases had infectious diseases followed by injuries (around 11%),
cardio-vascular (around 10%) and gastro-intestinal (around 9%).
o Population with health insurance coverage: About 14% of the rural population and 19% of the urban population
had health expenditure coverage.
o Source of hospitalisation expenditure: Rural households primarily depended on their ‘household income/savings’
(80%) and on ‘borrowings’ (13%) for financing expenditure on hospitalisation. The figure is 84% and 9% respectively
for Urban households.
o Institutional deliveries: In rural areas, about 90% childbirths were institutional (in Government/private hospitals)
and in urban areas it was about 96%.
o Pre and Post Natal Care: Among women in the age-group 15-49 years, about 97% of women took pre-natal care
and about 88% of women took post-natal care.
o Economic independence of aged persons (60 & above): In rural India, about 28% of aged persons and in urban
India 33% aged persons were economically independent.
o Immunisation among children aged 0-5 years:
▪ About 97% of children across the country received at least one vaccination — mostly BCG and/or the first dose
of OPV at birth.
▪ Among States, Manipur (75%), Andhra Pradesh (73.6%) and Mizoram (73.4%) recorded the highest rates of full
immunisation.
▪ In Nagaland, only 12% of children received all vaccinations, followed by Puducherry (34%) and Tripura (39.6%).

6.5. EPIDEMIC DISEASES (AMENDMENT) BILL, 2020

Why in news?
Epidemic Diseases (Amendment) Bill, 2020 was passed by parliament which amends the Epidemic Diseases Act,
1897. It repeals the Epidemic Diseases (Amendment) Ordinance that was promulgated in April 2020.

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Key features of the amendments
• It seeks to provide protections to healthcare service personnel who are at risk of contracting the epidemic
disease while carrying out duties related to the epidemic.
o They include doctors, nurses, other persons designated by the state government and any person
empowered under the Act to take measures to prevent the outbreak of the disease.
• It defines ‘act of violence’ committed against a healthcare service personnel, which include, harassment,
harm, injury, hurt, or danger to life, obstruction in discharge of duties, and loss or damage to the property or
documents.
The Epidemic Diseases Act 1897
• Act of violence or loss to any property are
• The Act came into effect amidst the outbreak of the bubonic
punishable with imprisonment between
plague in Bombay in the 1890s.
three months and five years, and a fine
• It is India’s solitary law that has been historically used as a
between Rs 50,000 and two lakh rupees. framework for containing the spread of various diseases
• In case, act of violence causes grievous including cholera and malaria.
harm, it is punishable with imprisonment • The law authorises the Central and state governments to take
between six months and seven years, and “exceptional measures and prescribe regulations” to be
a fine between one lakh rupees and five observed by the citizens to contain the spread of a disease.
lakh rupees. o Section 2 of the Act states that State Government may
o These offences are cognizable and take measures and prescribe regulations for the
non-bailable. inspection of persons travelling.
• Persons convicted of offences will be liable • It also provides penalties for disobeying any regulation or
order made under the Act.
to pay compensation to the healthcare
• However, it does not define “dangerous”, “infectious”, or
service personnel whom they have hurt. “contagious diseases”, and an “epidemic”.
• Expands the powers of the central • This Act was applied by states to impose lockdowns during
government to regulate the inspection of COVID-19 pandemic.
any bus, train, goods vehicle, ship, vessel, or
aircraft leaving or arriving at any land port, port, or aerodrome. Earlier, it was applicable only to inspection of
any ship or vessel leaving or arriving at any port.

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7. SCIENCE AND TECHNOLOGY
7.1. DATA EMPOWERMENT AND PROTECTION ARCHITECTURE
Why in news?
Recently, NITI Aayog sought suggestions and comments on the ‘Data Empowerment and Protection Architecture
(DEPA)’ draft.
More on news
• Along with NITI Aayog, the policy involves four regulators across banking, securities, insurance, and pensions
- RBI, SEBI, IRDAI, PFRDA - and the Ministry of Finance coming together to implement this model.
• The policy is envisaged to be released by 2020 and the report has been prepared by iSPIRT, not-for-profit
think tank.
What is the current framework for Data Protection in India?
• Information Technology (Reasonable Security Practices and Sensitive Personal Data or Information) Rules, 2011 is
referred to, for general application with regard to privacy laws.
• Collection of Government Data is governed by Aadhaar (Targeted Delivery of Financial and other Subsidies, Benefits
and Services) Act, 2016 and Aadhaar (Data Security) Regulations, 2016.
• Data related to the Banking Sector is regulated under Credit Information Companies (Regulation) Act, 2005, Credit
Information Companies Regulations, 2006, circulars of Reserve Bank of India including KYC circulars, Master Circulars
on credit cards and Customer Services and Code of Bank's commitment to Customers.
• Data related to the healthcare sector is regulated by Clinical Establishments (Central Government) Rules, 2012 and
Indian Medical Council (Professional Conduct, Etiquette and Ethics) Regulations, 2002.
As part of potential reforms with regard to the Data Protection regime, Personal Data Protection Bill, 2019 (currently
referred to the standing committee), Non-Personal Data Governance Framework and National Digital Health Mission
among others have been envisaged.
Why data protection should be complimented with data
empowerment?
• Prevent Financial Exclusion: A large number of India’s
rural and urban poor population face significant
exclusion from accessing appropriate financial
products for themselves and their enterprises - partly
due to a lack of trust and asymmetry of data. For
instance, a well-designed pool of data-driven financial
products could be instrumental in pulling individuals
out of poverty traps and stimulating the growth of
micro, small, and medium enterprises (MSMEs).
• Utilization of emerging large-scale data: Across
platforms such as Aadhaar and UPI, as well as through
increasing mobile connectivity, tele-density and internet usage, huge amount of data is being generated. This
data if used appropriately could generate information that is useful for policymakers, industries and
entrepreneurs.
• Prevent data from remaining in Silos: The current custodian-centric data protection regime does not
incentivize data sharing from data fiduciaries, resulting in new data becoming confined to respective silos. This
approach deters the economic potential created by increasing digitization and creation of data protection
institutions.
What are salient features of the draft Data Protection and Empowerment Architecture (DEPA)?
DEPA envisions that individuals should have control over how their personal data is used and shared and such an
agency of their personal data could empower them to newer opportunities.
• DEPA will act as final layer of India Stack: It aims to act as a layer of secure digital data sharing through consent
thus providing the final layer of India Stack. (Over and above Identity layer and Payments layer.)

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 oIndia Stack is a privately-owned Data empowerment is the process where people, on their own or
bouquet of proprietary software or with the help of intermediaries, take control or gain the power to
APIs powering Aadhaar-based take control of their data to promote their and their society’s
applications, and UPI based digital wellbeing. For this, people need to
transactions. It allows government, • be aware of how their data is used
businesses to use India’s digital • have a right to privacy and able to exercise it
infrastructure to deliver private • be able to demand disclosure of data about key issues of
services. interest, and use it to hold institutions accountable.
• Organization-centric system to • have the right to create and produce data, and use it for the
common good.
individual centric system: The policy
aims to work on the ideology that individuals themselves are the best judges of the ‘right’ uses of their
personal data. In this line they create a consent-based data sharing mechanism. For example, a bank needs
the individuals consent to share her data with a credit company or a tax/GST platform.
o This allows business to use that personal data of individuals to derive value from it which could, in turn,
provide benefits to individuals in terms
of loans, insurance.
• Consent Managers: In view of the
treatment of personal data as an economic
good, the policy advocates for the creation
of “a new class of institutions” called
‘consent managers’ that will act as a
conduit between individuals (data
principals), institutions in possession of the
individual’s personal data (data fiduciary)
and a business that seeks access to that
personal data.
o These Consent Managers in the financial
sector will be known as Account Aggregators. A
non-profit collective or alliance of these players
will be created called the DigiSahamati
Foundation (‘Sahamati‘).
• Technological Architecture: It creates interoperable,
secure, and privacy preserving digital framework for
data sharing through-
o The Consent Artefact: It is a technology Standard
for programmable consent to replace the all-
permissive terms and conditions forms.
o Open APIs for Data Sharing and creation of clearer Financial Information Standards.

7.2. ALTERNATIVE MEDICINES

Why in news?
Recently, Parliament passed three Bills related to alternative medicine viz. The National Commission for Indian
System of Medicine (NCISM) Act, 2020, The National Commission for Homoeopathy (NCH) Act, 2020 and The
Institute of Teaching and Research in Ayurveda (ITRA) Act, 2020.
Alternative Medicine System in India
• Alternative medicine is any practice that aims to achieve the healing effects of medicine, but which
lacks biological plausibility and is untested, untestable or proven ineffective. It is also known by different
names such as Traditional Medicine, Complementary medicine (CM), integrated medicine or integrative
medicine (IM). In India, it is known by the name Indian System of Medicine (ISM).
• ISM is the system of medicines which are considered to be Indian in origin or which have come to India from
outside and got assimilated into Indian culture. ISM mainly comprises the AYUSH streams (Ayurveda, Unani,
Yoga, Naturopathy, Siddha, and Homeopathy), are fast gaining traction and popularity in India.

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• These systems are based on definite medical
Other Steps taken by the Government to promote
philosophies and represent a way of healthy living
Indian system of medicine
with established concepts on prevention of diseases • Centrally Sponsored Scheme of National AYUSH
and promotion of health. The basic approach of all Mission and the strategy of mainstreaming of
these systems on health, disease and treatment are AYUSH under National Health Mission and National
holistic. Health Policy-2017 are implemented for promoting
• There is great curiosity to understand the principles and strengthening AYUSH sector. Under it, AYUSH
and practice of Ayurveda, Homeopathy, Siddha and facilities are being set up in PHCs, CHCs and District
Unani especially due to growing challenges in hospitals.
medicine in Non Communicable Diseases (NCDs), • For promotion of AYUSH systems across the globe,
Ministry of AYUSH has signed Country to Country
Life style disorders, long term diseases, multi drug
MoUs for cooperation in field of Traditional Medicine
resistant diseases, emergence of new diseases etc.
and Homeopathy, Collaborative Research/ Academic
▪ The Ministry of Ayurveda, Yoga and Naturopathy, collaboration and for setting up AYUSH Academic
Unani, Siddha and Homoeopathy (AYUSH) was Chairs in foreign Universities. Further, 31 AYUSH
formed in November 2014 to ensure the optimal Information Cell have been set up in 28 countries to
development and propagation of AYUSH systems of disseminate authentic information about AYUSH
healthcare. systems.
▪ Currently there are eight lakh registered AYUSH • Under Ayushman Bharat ,10% of the Sub- centres
doctors in India. Of these, 56% of doctors belong to are to be upgraded as Health and Wellness Centres
Ayurveda, 6.4% to Unani, and 1.4% to Siddha and (HWCs) which will be developed by the Ministry of
AYUSH to provide comprehensive Health care to the
Naturopathy. But there are several challenges which
needy community.
has prevented successful integration of AYUSH in
India’s mainstream healthcare.
Issues related to it
▪ Lack of scientific reliability and trust amongst end-users that these practices do provide proper cure for a
range of conditions by helping in maintaining overall fitness.
o Recent Health in India report by NSO also highlighted higher preference towards allopathy treatment
(around 95%) in both the public and private sector hospitals.
▪ Issues with the quality of medicines: Ayurvedic preparations have been found to contain lead, mercury,
and arsenic, substances known to be harmful to humans. In a 2008 study, close to 21% of U.S. and Indian-
manufactured patent Ayurvedic medicines sold through the Internet were found to contain toxic levels of
these heavy metals.
▪ Quality of research has been substandard, and drugs have been launched without any rigorous
pharmacological studies and meaningful clinical trial.
▪ Ethical concerns have been raised about various schemes that increasingly compel rural populace into
accepting AYUSH based healthcare; which often leads to disbursal of incompetent healthcare services by
unqualified practitioners.
o Ayushman Bharat has been noted to increase privatization of state healthcare facilities and compel rural
populace into preferentially choosing alternative medicine, raising concerns about ethics.

7.2.1. THE NATIONAL COMMISSION FOR INDIAN S YSTEM OF MEDICINE ACT

(NCISM), 2020
Key provisions of the act
• The Act seeks to repeal the Indian Medicine Central Council Act, 1970 and to provide for a medical education
system which ensures:
o availability of adequate and high-quality medical professionals of Indian System of Medicine
o adoption of the latest medical research by medical professionals
o periodic assessment of medical institutions and an effective grievance redressal mechanism.
• Constitution of National Commission for Indian System of Medicine (NCISM) and State Medical Councils.
NCISM would have the following responsibilities:
o To frame policies for the regulation of medical professionals and institutions for Indian System of
Medicine

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 o To assess the human resources and infrastructure required in relation to healthcare
o To ensure that the State Medical Councils of Indian System of Medicine adhered to the regulations laid
down by the Act
o To ensure that the autonomous boards set up under the Act worked in coordination with each other.
• Autonomous boards: It sets up certain autonomous boards under the supervision of the NCISM. These
boards are:
o The Board of Ayurveda and the Board of Unani, Siddha, and Sowa-Rigpa
o The Medical Assessment and Rating Board for Indian System of Medicine
o The Ethics and Medical Registration Board
• Advisory Council for Indian System of Medicine: will be constituted by the central government and will be
the primary platform through which the states/union territories can put forth their views and concerns
before the NCISM. Further, the Council will advise the NCISM on measures to determine and maintain the
minimum standards of medical education.
• Entrance examinations: uniform National Eligibility-cum-Entrance Test for admission to under-graduate
education in each of the disciplines of the Indian System of Medicine in all medical institutions regulated by
the Act. A common final year National Exit Test for the students graduating from medical institutions to
obtain the license for practice. Further, there will be a uniform post-graduate National Entrance Test for
admission into post-graduate courses in each of the disciplines of the Indian System of Medicine in all medical
institutions.
• National Teachers’ Eligibility Test for postgraduates of each discipline of Indian System of Medicine who wish
to take up teaching that particular discipline as a profession.

7.2.2. THE NATIONAL COMMISSION FOR HOMOEOPATHY (NCH) ACT, 2020

Key Provisions
• The Act seeks to repeal the Homoeopathy Central Council Act, 1973 and provide for a medical education
system which ensures availability of adequate and high quality homoeopathic medical professionals, etc.
• Constitution of the National Commission for Homoeopathy (NCH) and State Medical Councils for
Homoeopathy
• Functions of (NCH): same as of NCISM but with regards to homeopathy
• Autonomous boards: The Act sets up certain autonomous boards under the supervision of the NCH. These
are:
o Homoeopathy Education Board:
o Medical Assessment and Rating Board for Homoeopathy
o Board of Ethics and Medical Registration for
• Advisory Council for Homoeopathy
• Entrance examinations for UG, PG and license for practice.
• National Teachers’ Eligibility Test
• Appeal on matters related to professional and ethical misconduct: The State Medical Councils and the Board
of Ethics and Medical Registration for Homoeopathy have the power to take disciplinary action against the
medical practitioner including imposing a monetary penalty. If the medical practitioner is aggrieved of the
decision of the Board, he can approach the NCH to appeal against the decision. Appeal of the decision of the
NCH lies with the central government.

7.2.3. THE INSTITUTE OF TEACHING AND RESEARCH IN AYURVEDA (ITRA) ACT,

2020
Key Provisions
• It seeks to merge three Ayurveda institutes into one institution by the name of Institute of Teaching and
Research in Ayurveda (ITRA). The proposed Institute will be situated in the campus of Gujarat Ayurveda
University, Jamnagar and will be an institution of National Importance.
o The existing institutes which will be merged into the Institute are: (i) the Institute of Post Graduate
Teaching and Research in Ayurveda, Jamnagar, (ii) Shree Gulabkunverba Ayurveda Mahavidyalaya,
Jamnagar, and, (iii) the Indian Institute of Ayurvedic Pharmaceutical Sciences, Jamnagar.

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• Objectives of the Institute:
o develop patterns of teaching in medical Institute of National Importance (INI)
• As per MHRD, Institute of National Importance (INI) is a
education in Ayurveda and pharmacy,
status that may be conferred on a premier public higher
o bring together educational facilities for
education institution in India which serves as a pivotal
training of personnel in all branches of player in developing highly skilled personnel within the
Ayurveda, specified region of the country/state’.
o attain self-sufficiency in postgraduate • The status is granted by an act of Parliament of India.
education to meet the need for specialists • As of 2020, there are 159 institutes, declared as Institutes
and medical teachers in Ayurveda, and of National Importance under a distinct Act of Parliament
o make an in-depth study and research in that includes IITs, AIIMSs, IIMs, NITs, IIITs, Indian Institutes
the field of Ayurveda. of Science Education and Research (IISER), Schools of
• Composition of Institute: Institute will consist Planning and Architecture (SPA), National Institutes of
of 15 members including the Minister of Design (NID) etc.
AYUSH, Director-General, Central Council for • ITRA will be the first institution with INI status in the
AYUSH Sector, and will enable the institution to be
Research in Ayurveda, three experts in
independent and innovative in the matter deciding course
Ayurveda with expertise in education, industry content and pedagogy.
and research, and three Members of
Parliament.
• Functions of Institute:
o provide for undergraduate and postgraduate teaching in Ayurveda (including pharmacy),
o prescribe courses and curricula and hold examinations and grant degrees, diplomas and other
distinctions and titles in education in Ayurveda and pharmacy
o provide facilities for research in the various branches of Ayurveda,
o maintain well-equipped colleges and hospitals for Ayurveda supporting staffs such as nurses and
pharmacists.
Conclusion
True integration would require a concerted strategy for facilitating meaningful cross learning and collaboration
between the modern and traditional systems on equal terms. This will help address the subservient status of
AYUSH and to foster its legitimate inclusion into mainstream health care.

7.3. ASSISTED REPRODUCTIVE TECHNOLOGY

Why in news?
Recently, Assisted Reproductive Technology (ART) (Regulation) Bill, 2020, was introduced in the Lok Sabha.
More on news
• Objective of the bill is to standardise protocols of the growing fertility industry and to provide for the
regulation of ART services in the country.
• This is the third proposed legislation to protect the reproductive rights of women after the Surrogacy
Regulation Bill, 2019, and the Medical Termination of Pregnancy Amendment Bill, 2020.
Key provisions of the bill
• Assisted Reproductive Technology (ART): The Bill defines ART to include all techniques that seek to obtain a
pregnancy by handling the sperm or the oocyte (immature egg cell) outside the human body and transferring
the gamete or the embryo into the reproductive system of a woman. Examples of ART services include gamete
(sperm or oocyte) donation, in-vitro-fertilisation (fertilising an egg in the lab), and gestational surrogacy (the
child is not biologically related to surrogate mother). ART services will be provided through:
o ART clinics, which offer ART related treatments and procedures, and
o ART banks, which store and supply gametes.
• Regulation of ART clinics and banks: Every ART clinic and bank must be registered under the National Registry
of Banks and Clinics of India.
• Conditions for gamete donation and supply, offering ART services have also been prescribed.

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• Rights of a child born through ART: A child born through ART will be deemed to be a biological child of the
commissioning couple and will be entitled to the rights and privileges available to a natural child of the
commissioning couple. A donor will not have any parental rights over the child.
• National and State Boards: The National and State Boards for Surrogacy constituted under the Bill, will
regulate of ART services. The State Boards will coordinate enforcement of the policies and guidelines for ART
as per the recommendations, policies, and regulations of the National Board.
• Offences and penalties: Bill includes various offences under its purview such as (i) abandoning, or exploiting
children born through ART, (ii) selling, purchasing, trading, or importing human embryos or gametes, (iii) using
intermediates to obtain donors, (iv) exploiting commissioning couple, woman, or the gamete donor in any
form, and (v) transferring the human embryo into a male or an animal.
Need for the bill
• High demand and growth of ART: India is among countries that have seen the highest growth in the number
of ART centres and ART cycles performed every year.
o According to a 2015 Ernst and Young study, around 27.5 million couples in the reproductive age group are
infertile and about 1% (about 2,70,000 infertile couples) seek infertility evaluation. Of the people seeking
remedy for infertility, 20-25% undergo IVF treatment and of that small group, one percent may require
surrogacy.
▪ India has become one of the major centres of the global fertility industry (ART), with reproductive
medical tourism becoming a significant activity. This has also introduced a plethora of legal, ethical
and social issues; yet, there is no standardisation of protocols and reporting is still very inadequate.
▪ Facilitating effective implementation of other laws: Without registration and a proper database of
medical institutions and clinics providing such services, it is impossible to regulate services like
surrogacy and abortion under the Surrogacy Regulation Bill, 2019 and Medical Termination of
Pregnancy (Amendment) Bill, 2020.
Types of ARTs
• In Vitro Fertilization: It is the most common form of ART that is used by maximum patients. In this, woman’s eggs are
combined with man’s sperm in a laboratory. The fertilised egg is then placed inside the woman’s uterus in a procedure
called embryo transfer.
• Gamete intrafallopian transfer (GIFT): The man’s sperm and a woman’s egg are made to combine in a lab. Then the
eggs are implanted into the fallopian tubes and the fertilization occurs inside a woman’s body.
• Intrauterine insemination (IUI): Also known as artificial insemination, it involves insertion of the male partner’s (or a
donor’s) sperm into a woman’s uterus at or just before the time of ovulation by long narrow tube.
• Gestational Surrogacy: In this, the embryo is created via IVF, using the eggs and sperm of the intended parents or
donors, and is then transferred to the surrogate. The child is thus not biologically related to the surrogate mother,
who is often referred to as a gestational carrier.

7.4. TRANS FATS

Why in news?
World Health Organization (WHO) released progress report on trans-fat elimination titled “Countdown to
2023: Global Trans Fats Elimination 2020”.
Background
• In May 2018, WHO called for the global elimination of industrially produced TFA by 2023.
• In May 2019, WHO released REPLACE action framework which is a roadmap for countries to implement the
prompt, complete and sustained elimination of industrially produced TFA from the food supply.
• Under REPLACE framework, the six areas of action include:
o Review dietary sources of industrially-produced transfat and the landscape for required policy change.
o Promote the replacement of industrially-produced trans fat with healthier fats and oils.
o Legislate or enact regulatory actions to eliminate industrially-produced trans fat.
o Assess and monitor trans fat content in the food supply and changes in trans fat consumption in the
population.
o Create awareness of the negative health impact of trans fat among policy-makers, producers, suppliers,
and the public.

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 o Enforce compliance with policies and regulations.
Highlights of the 2020 report About trans fat
• 58 countries so far have introduced laws that will • Trans fat, or trans-fatty acids, are unsaturated fatty
protect 3.2 billion people from the harmful acids that come from either natural or industrial
sources:
substance by the end of 2021. But more than 100
o Naturally occurring trans-fat come from
countries still need to take actions to remove ruminants (cows and sheep).
these harmful substances from their food supplies. o Industrially produced trans-fat are formed in an
• Fifteen countries account for approximately two industrial process that adds hydrogen to
thirds of the worldwide deaths. Of these, four vegetable oil converting the liquid into a solid,
(Canada, Latvia, Slovenia, United States of resulting in “partially hydrogenated” oil (PHO).
America) have implemented WHO-recommended • Industrially produced trans-fats are found in hardened
best-practice policies, either by setting mandatory vegetable fats such as margarine and ghee (clarified
limits for industrially produced trans fats to 2% of butter) and are often present in snack foods, baked
goods and fried foods.
oils and fats in all foods or banning partially
• Manufacturers often use them as they have a longer
hydrogenated oils (PHO).
shelf life and are cheaper than other fats.
• But the remaining 11 countries (Azerbaijan, • They are more unhealthy than Saturated fats as they
Bangladesh, Bhutan, Ecuador, Egypt, India, Iran, increases LDL (“bad”) cholesterol levels while lowering
Mexico, Nepal, Pakistan, Republic of Korea) still HDL (“good”) cholesterol levels.
need to take urgent action. • Approximately 540,000 deaths each year can be
• To meet the 2023 target, WHO recommends that attributed to intake of industrially produced trans-
countries take the following actions in the coming fatty acids and in India the figure reaches to 60,000
year. number.
o Develop and implement best-practice policies • WHO recommends that trans-fat intake be limited to
to set TFA limits or to ban PHO. less than 1% of total energy intake i.e. less than 2.2
g/day with a 2,000-calorie diet.
o Invest in monitoring mechanisms, such as
laboratory capacity to measure TFA content in foods.
o Advocate for regional or subregional regulations to expand the benefits of TFA policies.
Steps taken by India against Trans fats
• India has set targets to reduce the industrially produced trans-fat to less than 2% by the year 2022 in a phased
manner, a year ahead of the WHO target. Currently, the Food Safety and Standards Authority of India (FSSAI)
limits trans-fat content in fats and oils to 5 per cent.
• To achieve the target, the Food Safety and Standards Authority of India (FSSAI) launched two initiatives:
o Eat Right Movement is built on two broad pillars of ‘Eat Healthy’ and ‘Eat Safe’. It aims to cut down on
salt, sugar and oil consumption by 30% in three years by educating customers.
o Heart Attack Rewind campaign to warn citizens about the health hazards of consuming trans fats and
offer strategies to avoid them through healthier alternatives.
• Trans Fat Free logo: Food establishments which use trans-fat free fats/oil and do not have industrial trans-fat
more than 0.2g/100g of food, can display "Trans-fat free" logo in their outlets and on their food products.

7.5. MARS ORBITER MISSION

Why in news?
Indian Space Research Organisation’s (ISRO) Mars Orbiter Mission completed six years of orbiting Mars.
About Mars Orbiter Mission (MOM)
• MOM was the first interplanetary mission of ISRO, launched in 2013 by PSLV-C25 and got inserted into
Martian orbit in 2014 in its first attempt.
• Its scientific objectives include exploration of Mars surface features, morphology, mineralogy and Martian
atmosphere by indigenous scientific instruments.
• Technological objectives included deep space communication, navigation, mission planning and
management.

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• Mars Orbiter Mission carried five payloads to How MOM has helped so far?
accomplish its scientific objectives. • Helped prepare a Martian Atlas based on the images
o Methane Sensor for Mars: It is designed to provided by the orbiter.
measure Methane (CH4) in the Martian • Phobos and Deimos, the two moons of Mars, were
atmosphere and map its sources. also imaged from close distances by the Mars Colour
o Mars Color Camera (MCC): Tri-color MCC gives Camera.
images & information about the surface • It made a finding that dust storms on the Mars can
features and composition of Martian surface. rise up to hundreds of kilometres.
o Lyman Alpha Photometer: It measures the • Albedo map of Mars has been prepared using MOM
will be useful to study the surface properties of
relative abundance of deuterium and hydrogen
Mars.
from Lyman-alpha emission in the Martian o Albedo is the fraction of solar energy reflected
upper atmosphere. Measurement of D/H from planetary surface back into space.
(Deuterium to Hydrogen abundance Ratio) helps
to understand the loss process of water
Other missions to Mars in news
from the planet.
• ExoMars 2022: joint programme of European Space
o Mars Exospheric Neutral Composition Agency (ESA) and the Russian space agency. It comprises
Analyser (MENCA): It is a quadruple two missions: First, Trace Gas Orbiter – launched in 2016 and,
mass spectrometer capable of analysing second, comprising a rover and surface platform, is planned
the neutral composition in the range of for 2022.
1 to 300 amu with unit mass resolution. • Mars 2020 Rover: Under this, NASA’s Perseverance rover
o Thermal Infrared Imaging Spectrometer will seek signs of ancient life and collect rock and soil samples
(TIS): It measures the thermal emission for possible return to Earth. It was launched in 2020.
and can be operated during both day • Hope Mission: Launched by UAE in 2020, it is Arab world’s
and night. Many minerals and soil types first mission to Mars.
have characteristic spectra in TIR region. • Tianwen-1: It is China’s first Mars exploration mission,
launched in 2020.
TIS can map surface composition and
mineralogy of Mars.

7.6. HYPERSONIC TECHNOLOGY DEMONSTRATION VEHICLE (HSTDV)

Why in news?
Recently, India successfully tested the hypersonic technology demonstration vehicle.
More on news Mach Number
• The test was performed by Defence Research and Development • Mach number expresses the speed
Organisation (DRDO). of an object in air relative to the
• The test flight took off from the APJ Abdul Kalam Launch Complex speed of sound. For example, Mach
(at Wheeler Island), off the Odisha coast, and, after separating number 6 here implies that the
vehicle was moving at six times the
from its launch vehicle at an altitude of 30 km, flew at Mach 6 for
speed of sound.
more than 22 seconds. • Velocity zones according to Mach
o The launch vehicle used for this flight was the ISRO’s Advanced numbers:
Technology Vehicle (ATV). Velocity Zone Mach number
• Apart from India, only three countries have flown a vehicle at Subsonic Mach < 1.0
hypersonic speeds in the atmosphere- Russia, USA and China. Transonic Mach ~ 1.0
About HSTDV Supersonic Mach > 1.0
Hypersonic Mach > 5.0
• HSTDV is an unmanned demonstration aircraft used for hypersonic
flight test.
• The primary aim of the demonstration vehicle was to test the indigenously developed propulsion system- air-
breathing Scramjet engine.
• The Hypersonic flight posed two major challenges:
o Air being rammed into the engine at high speeds makes it difficult to simultaneously inject fuel and burn
the mixture without the flame being extinguished by the air blast.
▪ This was overcome by developing technologies like hypersonic air intake system and supersonic
combustor.

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 o To ensure that the skin of the vehicle remains cool during the hypersonic phase of the flight. (The skin
generally heats up due friction in the atmosphere.)
▪ This was overcome by developing materials which can withstand high temperatures and creating
computational tools to simulate the hypersonic flow and temperature profile.
Air-breathing engines: How they work?
• The basic difference between air-breathing systems and others is the material that plays the role of oxidiser.
• Generally, launch vehicles use combustion of propellants consisting of oxidiser and fuel for deriving the energy. Air
breathing propulsion systems use atmospheric oxygen, which is available up to about 50 km of earth’s surface to
burn the fuel stored on-board thereby making the system much lighter, more efficient and cost effective.
Types of air-breathing systems: Ramjet, Scramjet and Dual Mode Ramjet (DMRJ)
• Ramjet Engine: A ramjet is a form of air-breathing jet engine that uses the vehicle’s forward motion to compress
incoming air for combustion without a rotating compressor. Fuel is injected in the combustion chamber where it
mixes with the hot compressed air and ignites.
o A ramjet-powered vehicle requires an assisted take-off like a rocket assist to accelerate it to a speed where it
begins to produce thrust.
o Ramjets work most efficiently at supersonic speeds around Mach 3. However, the ramjet efficiency starts to drop
when the vehicle reaches hypersonic speeds.
• Scramjet Engine: A scramjet engine is an improvement over the ramjet engine as it efficiently operates at hypersonic
speeds and allows supersonic combustion. Thus it is known as Supersonic Combustion Ramjet, or Scramjet.
o The Scramjet engine designed by ISRO uses Hydrogen as fuel and the Oxygen from the atmospheric air as the
oxidiser.
• Dual mode ramjet (DMRJ): It is a type of jet engine where a ramjet transforms into scramjet over Mach 4-8 range,
which means it can efficiently operate both in subsonic and supersonic combustor modes.
What is the technological significance of a successful hypersonic flight demonstration?
• Reduces the overall fuel need for satellite missions: Nearly 70% of the propellant (fuel-oxidiser combination)
carried by today’s launch vehicles consists of oxidiser. Therefore, using atmospheric oxygen would
considerably reduce the overall propellant required to place the satellite in the orbit.
• Potential for reusing launch vehicles: Air breathing propulsion systems enable a powered return cruise flight
for launch vehicles, thus making them reusable. The possibility of reusing the launch vehicle will significantly
reduce the cost of launching the satellites.
• Testing of ancillary technologies: A successful demonstration proved the efficacy of many other critical
technologies (apart from the scramjet engine) such as aerodynamic configuration of hypersonic manoeuvres
and separation mechanism at hypersonic velocities.
• Faster civilian air transportation: Further development of Scramjet and Dual Mode Ramjet technology could
improve the fuel efficiency and peak speeds for civilian transportation.
• Faster and long range cruise missiles: The HSTDV is capable of powering missiles to attain a speed of around
Mach 6. Most cruise missiles fly today at sub-sonic speeds. This renders them vulnerable to interception by
the enemy’s supersonic fighter jets before they strike their targets. However, a hypersonic cruise missile, flying
faster than any fighter, would strike its target well before it can be intercepted.
o Also, a hypersonic missile is a “quick reaction missile" which can be used to intercept incoming missiles
in the outer atmosphere or in the inner atmosphere.

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8. CULTURE
8.1. KAKATIYA DYNASTY
Why in news?
A temple constructed by Kakatiya
ruler, in Andhra Pradesh’s capital
Amaravathi has been converted
into an abode of local goddess
Balusulamma (Goddess Durga).
More on news
• The temple was constructed by
emperor Ganapati Deva, a
mighty ruler of Kakatiya
dynasty.
• The presiding deity at this 13th
century temple was Kakati
Devi, the deity of Kakatiya
rulers.
About Kakatiya dynasty
• They were earlier feudatories
of Western Chalukyas. All three
contemporary dynasties of
Deccan i.e. Hoysalas, Yadavas
and Kakatiyas were feudatories
of Western Chalukyas.
• The independent dynasty was
established when Rudradeva
(Prataparudra I) became first
independent ruler of Kakatiya dynasty in 1158AD.
• Warangal was the capital of Kakatiyas.
• They faced Islamic invasion from 1310 (by Alauddin Khilji) and ultimately came under control of Delhi
Sultanate in 1323 (invasion by Sultan Ghiyasuddin Tughlaq).
• Prominent rulers:
o Ganapatideva’s reign was the longest amongst all the Kakatiya rulers, starting from 1199 till 1262 CE
during which he expanded his kingdom from the coastal Bay of Bengal in the east to Kanchipuram in the
south.
o Rani Rudrama Devi (1262-89) was one of the few queens in Indian history belonged to Kakatiya dynasty.
• Socio-Economic history:
o Motupalli was the famous trading seaport of the Kakatiyas.
o Marco Polo- the famous Venetian traveler visited Kakatiya kingdom through this port and wrote about
the prosperity and power in Andhras in his travelogue.
o Kakatiya dynasties were famous for the construction of large tanks and used the
sluice-weir device in it to boost crop production.
o The Koh-i-noor diamond was mined during Kakatiya rule from the Golconda mines
• Architecture:
o Rudreswara Temple: also known as VeyyisthambalaGudi (Thousand pillars temple) in Telugu is one of the
earliest structures of Kakatiya architecture.
▪ It was built by Rudra Deva in 1163 AD.
▪ The temple is known for its richly carved pillars, perforated screens, special icons like rock-cut
elephants and monolithic Nandi.

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 ▪ The temple was desecrated by the rulers of Tughlaq dynasty during their invasion of the Deccan
region.
o Rammappa Temple: It is the only temple in India known by the name of the sculptor who built it, rather
than after the presiding deity
▪ It was built on behalf of the king, Kakati Ganapathi Deva by his chief commander Rudra Samani.
▪ The sculptural work of dance postures in the temple were great inspiration for the famous work ‘Nritya
Ratnavali’, by Jayapa Senani.
o Warangal Fort: Warangal fort was built by King Ganapathi in 13th century and completed by his daughter
Rudrama Devi, in 1261 A.D.
▪ The fort has four paths with decorative and lofty gateways known as Keerthi Thorana or Hamsa
Thorana.
o Warangal Fort, Thousand Pillar Temple, and Ramappa Temple of this region have been added to the
tentative list of UNESCO’s World Heritage sites.

8.2. BAGH PRINT

Why in news?
Local tribals in Barwani, Madhya Pradesh are being trained in the Bagh, Maheshwari and Chanderi textile crafts
by TRIFED to ensure continuous livelihoods.
Tribal Cooperative Marketing Development Federation
More on news of India (TRIFED)
• It was established in 1987 under the Cooperative
• Barwani in Madhya Pradesh is an aspirational Societies Act, 1984 by the Government of India as a
district due its poor socio-economic development National level Cooperative body.
conditions. • It falls under Ministry of Tribal Welfare.
• There are no traditional crafts in Barwani, however, • TRIFED is mandated to ringing about socio-
in the surrounding districts of Khargone and Dhar, economic development of tribals of the country by
tribal artisans are engaged in Bagh printing and institutionalising the trade of Minor Forest Produce
traditional weaving of textiles in the Maheshwari (MFP) & Surplus Agricultural Produce (SAP)
style. collected/ cultivated by them.
• It plays the dual role of both a market developer and
About Bagh Print a service provider.
• It is a traditional hand block print with natural • TRIBES India is the brand under which the sourced
handcrafted products from the tribal people are
colours, practised in Dhar district in Madhya
sold.
Pradesh.
o There are 120 brick-and-mortar TRIBES India
• Its name is derived from the village Bagh on the outlets across India.
banks of the Bagh River.
• In this printing technique the cotton and silk cloth are subject to treatment of a blend of corroded iron fillings,
alum and Alizarin (organic red dye).
• On completion of the printing process, the printed fabric is subject to repeated washing in the flowing waters
of the river and then dried in the sun for a specific period to obtain the fine lustre.
• Usually geometric and floral compositions with vegetable colours of red and black over a white background
are found in this style.
• Bagh printing received the Geographical Indication (GI) tag in 2008.
About Maheshwari fabrics
• Maheshwari fabrics are cotton and silk fabric woven with zari or brocade in varied designs primarily used to
make sarees.
• The Maheshwari saree, comes from Maheshwar (located on banks of Narmada) in Khargone district of
Madhya Pradesh.
• The grandeur of the forts in Madhya Pradesh and their designs played an important role in inspiring the
technique, weaves and motifs on the Maheshwari fabrics.
• Some of these popular designs include the Mat pattern (chattai), Jasmine pattern (Chameli), Brick pattern
(Eent) and Diamond pattern (Heera).

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• There are 5 major categories of sarees woven out of Maheshwari fabric which are namely - Chandrakala,
Baingani Chandrakala, Chandratara, Beli and Parbi. These sarees are glossy and light weight.
• Maheshwari sarees were patronized by royal family of Holkars and are said to be created by Rani Ahilya Bai
Holkar herself.
About Chanderi fabrics
• It is a traditional ethnic fabric characterized by its lightweight, sheer texture and fine luxurious feel.
• It is produced by weaving in silk and golden Zari in the traditional cotton yarn that results in the creation of
the shimmering texture.
• The fabric borrowed its name from the small town Chanderi in Madhya Pradesh and can be classified into 3
types – Chanderi silk cotton, pure silk and Chanderi cotton.
• Chanderi sarees were patronized by the royal family of Scindias.

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9. ETHICS
9.1. BEYOND GROWTH: TOWARDS A NEW ECONOMIC APPROACH
Context
We, as a society are facing a series of converging challenges linked to the environment, economy, and our social
and political systems. The issues range from climate change, rapid technological change to emergence of new
patterns of globalization. But, is our economic policy ready for these challenges? Will economic growth be enough
or do we need something more? In this context, OECD released a report- ‘Beyond Growth: Towards a new
economic approach’.
Is there a need to think beyond economic growth?
Economic growth has been the primary goal of economic policies, and the principal measure of an economy’s
success. In these years, economic growth facilitated employment growth, reduced poverty rates, and provided
finance for higher government spending. But alongside these benefits, it has also generated significant issues:
• GDP growth is now widely associated with rising inequalities. In almost all major countries, the last forty years
have seen a declining share of national income going to wages and salaries (labour), with a rising share going
to the owners of capital.
• GDP growth is no longer correlated with improvements in wellbeing. Income is important, particularly for
those whose incomes are low. But we now understand that people’ sense of a fulfilled and flourishing life
comes also from a wide variety of other factors: from the security and satisfaction they experience in work;
their physical and mental health, social networks and personal and family relationships, trust in society etc.
o None of these factors are automatically improved simply by higher GDP, and can often be harmed by the
ways in which GDP is generated.
• Severe environmental degradation has forced a recognition that today’s patterns of economic growth are
undermining our capacity to maintain current standards of living.
• Further, there is a need to re-evaluate the nature of economic factors like-
o Economic behaviour: The evidence based economic psychology is considered more appropriate in
understanding economic behaviour compared to the homogenous model of a rational ‘homo
economicus’. People have strong attachments and moral views which lead to various forms of caring, co-
operative and altruistic behaviour, as well as conformity to social norms. Such behaviours may not be
subject to a calculative or individualistic logic at all: they suggest a ‘social’ human being as an important
economic agent.
o Value of currently unpaid work: Studies have highlighted how unpaid and hence undervalued work plays
a critical role in sustaining the social fabric. For example, the unpaid work of raising children, very largely
done by women, plays a major role in maintaining the processes and structures of society. The current
models fail to recognize this contribution and as a result systematically ignore it in mainstream economic
accounting and analysis.
Components of new objectives going forward
The issues identified above do not imply that economic growth should be abandoned as a goal of economic
policy. Rather, they suggest that GDP growth should be complimented with a wider set of objectives for
measuring of economic and social progress:
• Environmental sustainability - path of rapidly declining greenhouse gas emissions and environmental
degradation, consistent with avoiding catastrophic damage and achieving a stable and healthy level of
ecosystem services.
• Rising wellbeing - a rising sense of improvement in the quality of life and condition of individual and society
as a whole.
• Falling inequality - reduction in the gap between the incomes and wealth of the richest and poorest groups in
society and rising incomes and opportunities for those experiencing systematic disadvantage.
• System resilience - understood as the economy’s ability to withstand financial, environmental or other shocks
without catastrophic and system-wide effects.

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 Is it possible to improve growth and the new objectives simultaneously?
It used to be widely thought that there is permanent trade-off between GDP growth and these wider objectives. For
instance, inequality was considered as an inevitable price of growth. It is certainly true that such trade-offs can exist. But
it is also true that these goals can be achieved together if structures are made to encourage synergy between them. For
example-
• Inequality vs. Growth: People on low incomes tend to spend a higher proportion of their income than the wealthy,
who are more likely to save. So, improving the earnings of poorer people has a much larger impact on consumption
and aggregate demand, and therefore growth.
• Environmental sustainability vs. Growth: Cutting greenhouse gas emissions, for example, will require investments in
energy efficiency and renewable energy. In some circumstances, these investments can act as a form of economic
stimulus, generating both jobs and incomes.
Way forward
• Goals should be integrated in structures itself: If we are to achieve the new economic goals we have set out,
these need to be built into the structures of the economy from the outset, not simply hoped for as a by-
product, or added after the event. For example, as the processes of both automation and decarbonisation
have the effect of redistributing employment opportunities, the role of government ‘job guarantees’ becomes
important to smooth the transition.
o The report suggests the idea of ‘Flexicurity’ welfare policies, which combine flexibility for employers with
income security for workers.
• Integrated approach towards policymaking: Multiple objectives can only be achieved if economic and social
policymaking moves out of its traditional silos and seeks out the synergies as well as trade-offs between
different policy areas. We cannot, for example-
o Achieve environmental sustainability in ways which simply exacerbate inequalities.
o Reform financial system to reduce systemic risk but not distribute wealth more broadly.
• Broader social partnership and public consultation: To ensure a broader set of objectives, consumption
patterns will have to be altered, efforts from multiple stakeholders will be needed and unpopular choices will
have to be made. To make choices of these kinds, governments will need to engage in deeper forms of sectoral
planning, social partnership and public consultation.
o For example, sustainability and decarbonisation policy will have to make consumption patterns more
sustainable, explore several technological options with the industry and policies like subsidy on fossil fuels
will have to cease.
• Increasing resilience in the economy: This includes addressing the fragile nature of the financial sector and
addressing the monopolistic and oligopolistic role played by some corporations.
o Financial sector stability could be ensured through- stricter regulation of the types of assets which
financial institutions can hold and incentivising long-term investment in productive sectors of the
economy.
Conclusion
These recommendations provide us with an idea of how economic policies can be shaped in a complex, dynamic
and interconnected global economy. The model suggested here may not be the most optimal model or a
universally applicable model, but it captures the idea that the growth needs to move beyond to a developmental
realm.

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10. SCHEMES IN NEWS
10.1. START-UP VILLAGE ENTREPRENEURSHIP PROGRAMME (SVEP)
Why in News?
Recently, SVEP has extended business support services and capital infusion to 153 blocks of 23 states.
Objective Salient Features
• To enable rural poor to set up • SVEP is a sub componenet of Deendayal Antyodaya Yojana – National Rural
their enterprises, in its proof of Livelihoods Mission (DAY-NRLM) of the Ministry of Rural Development.
concept phase, by developing a • SVEP aims to support entrepreneurs in rural areas to set up local enterprises.
sustainable model for Village o The programmatic intervention will address all three missing ecosystems
Entrepreneurship promotion – Knowledge, advisory and finance ecosystems.
through Beneficiaries:
o integrated ICT techniques • Any Rural poor who is willing to be entrepreneurial and self-reliant is eligible to
and tools for training and be part of this programme.
capacity building, o Highly vulnerable beneficiaries under MGNREGA, marginalized sections,
o enterprise advisory women, SC and ST communities and rural artisans will be given specific
services and preference in selection, as part of this programme.
o to provide loans from • Key elements of the programme
banks/SHG & federations. o Implementation of SVEP shall be managed by NRLM through the State
• Handhold the rural Rural Livelihood Missions.
entrepreneurs/enterprises in o Ensure convergence with clusters identified under RURBAN mission
the initial six months of start- o Help enterprises get bank finance using tablet-based software for making
up, with visits from the business feasibility plan, doing credit appraisal and tracking business
community resource persons – performance.
enterprise promotion (CRP-EP) o Use the Community Investment Fund (CIF) to provide seed capital for
supported by guidance from an starting the business till it reaches a size where bank finance is needed.
advisory panel of experts for Benefits:
the relevant enterprise. • It shall help rural people specially the marginalized sections, women, SC and
ST communities to gain a sense of dignity and self-reliance leading to great
social change.
• Wealth generated in local economy shall have a multiplier effect resulting in
strengthening the local economy and reduction in distress migration.
• Promote enterprise in the field of sanitation, drinking water, renewable energy.
• Offer more economic opportunity for the rural areas and bring people out of
poverty

10.2. PRADHAN MANTRI JAN VIKAS KARYAKRAM (PMJVK)

Why in News?
Recently, areas under PMJVK have been increased from 90 Districts originally to 308 Districts of the country.
Objective Salient feature
• It seeks to provide • It is being implemented by Ministry of Minority Affairs.
better socio- • In the year 2008-09, Government conceived the Multi-sectoral Development Programme
economic (MsDP), a Centrally Sponsored Scheme.
infrastructure o Initially, the MsDP scheme was launched in the 90 Minority Concentration Districts of
facilities to the the country.
minority o To sharpen the focus on the targeted communities, the scheme was restructured
communities during 2013-14 and the unit of planning for implementation was changed to
particularly in the Minority Concentration Blocks (MCB), Minority Concentration Towns (MCT) and
field of education, Clusters of Minority Concentration Villages (COV).
health & skill • Since 2018, scheme has been restructured and renamed as PMJVK for effective
development. implementation.
• It aims to lessening o A new area for implementation of PMJVK has been included namely Minority
of the gap between Concentration District Headquarters (MCD Hq) along with MCB, MCT and COV.

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 the national o identified areas namely MCBs, MCTs, MCD Hqs and COVs for implementation of
average and the PMJVK will be known as Minority Concentration Areas (MCA).
minority • To ensure holistic development of the Minority Communities, 80% of the resources under
communities with this programme would be utilized for projects related to education, health and Skill of
regard to which atleast 33-40% will be earmarked for creation of assets/facilities for women/girls.
backwardness • Karyakram will be implemented through State/Central agencies.
parameters. • PMJVK has used the selected socio-economic, basic amenities and population data of
Census 2011 and have identified MCBs, MCTs and MCD Hqs.
Beneficiaries of PMJVK
• Communities notified as minority communities under Section 2 (c) of the National
Commission for Minorities Act, 1992 would be taken as Minority Communities.
o At present Six communities namely Muslims, Sikhs, Christians, Buddhists, Zoroastrians
(Parsis) and Jains have been notified.

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11. NEWS IN SHORTS
11.1. SINGAPORE CONVENTION ON • Association of World Election Bodies (A-WEB) is
MEDIATION COMES INTO FORCE largest association of Election Management
Bodies (EMBs) worldwide. At present A-WEB has
• The Convention, also known as United Nations 115 EMBs as Members & 16 Regional
(UN) Convention on International Settlement Associations/Organisations as Associate Members.
Agreements Resulting from Mediation, is the first o Last year India had taken over as Chair of A-
UN treaty to be named after Singapore. WEB for 2019-2021.
• Convention applies to international settlement o An India A-WEB Centre has been established at
agreements resulting from mediation, concluded New Delhi, for documentation, research and
by parties to resolve a commercial dispute. training for sharing the best practices and
o It will allow businesses to seek enforcement of capacity building of officials of A-WEB
a mediated settlement agreement across members.
borders by applying directly to courts of • Issues faced during COVID 19
countries that have signed and ratified the o Countries are facing dilemma of whether to
treaty. conduct or postpone scheduled elections.
o Currently, Convention has 53 signatories, o Changes in political campaigning to reduce
including India, China, and US. human-to-human contact.
• Significance of the Convention o Party in power, armed with enhanced
o It will facilitate international trade and authority to enforce ‘lockdowns’ and other
commerce by enabling disputing parties to restrictions, is more likely to misuse the power
easily enforce and invoke settlement to its benefit.
agreements across borders. • Steps taken in India
o Businesses will benefit from mediation as an o Election Commission proposed a 10% increase
additional dispute resolution (ADR) option to in the campaign expenditure limit.
litigation and arbitration in settling cross- o Separate polling arrangements for
border disputes. suspected/confirmed COVID- 19 cases among
o It helps to save time and legal costs of electors.
companies. o There shall be maximum 1000 electors instead
• Benefits for India: will boost ease of doing business of 1500 in a polling station.
credentials by enabling swift mediated o Specific guidelines for door to door campaigns
settlements, provide a positive signal to foreign and road shows by political parties/contesting
investors about India's commitment to adhere to candidates.
international practice on ADR.
11.3. E-GRAMSWARAJ PORTAL
• Ministry of Panchayati Raj has launched this portal
to strengthen e-Governance in Panchayati Raj
Institutions across the country.
• It aims to bring in better transparency in the
decentralised planning, progress reporting and
work-based accounting.
• It provides a single window for capturing Panchayat
information with the complete Profile of the
Panchayat, details of Panchayat finances, asset
details, activities taken up through Gram Panchayat
Development Plan (GPDP) etc.
o For 2020-21, around 2.43 lakh Gram
Panchayats have finalized their GPDP on e-
11.2. A- WEB Gramswaraj.

• Recently, ECI completed one-year chairmanship of

A-WEB and organized an international webinar on
‘‘Issues, Challenges and Protocols for Conducting
Elections during Covid-19”.

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11.4. INDIA PROPOSES VOLUNTARY • EASE is based on 6 themes:
‘G-20 PRINCIPLES ON COORDINATED • EASE 2.0 builds on the foundation of EASE 1.0 and
introduces new reform Action Points across six
CROSS-BORDER MOVEMENT OF
themes to make reforms journey irreversible,
PEOPLE’
strengthen processes and systems, and drive
• It was proposed in G-20 foreign ministers’ meeting outcomes.
with focus on cross-border movement amid the • EASE reforms index measures the performance of
COVID-19 pandemic. each PSB on 120+ objective metrics across six
• 3 elements of the principles include themes. It provides all PSBs a comparative
Standardisation of: evaluation vis-à-vis benchmarks and peers on the
o Testing procedures and universal acceptability Reforms Agenda.
of test results. • Customer Responsiveness: EASE for customer
o Quarantine procedures. comfort
o Movement and transit protocols. • Responsible Banking: Financial stability, governance
• India also called governments around the world to for ensuring outcomes, and EASE for clean &
ensure that interests of foreign students are commercially prudent business
protected and movement of stranded seafarers • Credit Off-take: EASE for the borrower and proactive
back to their home country is facilitated. delivery of credit
o Number of Indians living abroad is 175 lakh in • PSBs as UdyamiMitra: EASE of nancing and bill
2019 making India the leading country of origin discounting for MSMEs
for international migrants. • Deepening Financial Inclusion & Digitalisation: EASE
• Steps taken by India through near-home banking, microinsurance and
o Initiated Vande Bharat Mission, India’s largest digitalisation
repatriation operation to bring home Indian • Ensuring outcomes – HR: Developing personnel for
nationals stranded abroad due to COVID-19 Brand PSB
lockdown.
o Created travel bubbles for the welfare and
11.6. DOMESTIC SYSTEMICALLY
protection of citizens stranded in India and IMPORTANT INSURERS (DSIIS)
abroad. • Insurance Regulatory and Development Authority
• G20 is an international forum for the governments of India (IRDAI) has identified Life Insurance
and central bank governors from 19 countries and Corporation of India (LIC), General Insurance
the European Union. Corporation of India (GIC) and The New India
o Collectively, G20 members represent around Assurance Co.as D-SIIs for 2020-21.
80% of the world’s economic output, two- • D-SIIs refer to insurers of such size, market
thirds of global population and three-quarters importance and domestic and global
of international trade. interconnectedness whose distress or failure
would cause a significant dislocation in the
11.5. FINANCE MINISTER UNVEILS
domestic financial system.Thus, they are
DOORSTEP BANKING SERVICES AND perceived as insurers that are too big or too
DECLARES EASE 2.0 INDEX RESULTS important to fail.
• Doorstep Banking Services is envisaged as part of o Size in terms of total revenue, including
EASE (Enhanced Access and Service Excellence) premium underwritten and the value of assets
Reforms to provide convenience of banking under management are among the parameters
services to customers at their door step. on which the insurers are identified.
o This is provided through universal touch points • IRDAI will list D-SIIs on annual basis.
of Call Centre, Web Portal or Mobile App. • Conditionality’s imposed on D-SII’s: Raising their
o Customers can also track their service request level of corporate governance, identifying all
through these channels. relevant risks and promoting a sound risk
• EASE reform agenda for public sector banks (PSB) management culture.
was launched in 2018. It aims at institutionalizing o They will also be subjected to enhanced
clean and smart banking. regulatory supervision by IRDAI.
o Capital infusion in PSBs was dependent on PSB • Similar to DSII, RBI announce domestic
performance on these reform themes. systemically important bank (D-SIBs).
o SBI, ICICI Bank, and HDFC Bank identified as D-
SIBs

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11.7. ANIC-ARISE (ATAL NEW INDIA 11.10. GLOBAL ECONOMIC FREEDOM
CHALLENGES IN APPLIED RESEARCH INDEX
AND INNOVATION FOR MEDIUM AND
• It is released by Centre for Civil Society in
SMALL ENTERPRISES) LAUNCHED conjunction with Canada’s Fraser Institute.
• It is a program launched by Atal Innovation Mission • It measures economic freedom, or ability of
to promote research & innovation and increase individuals to make their own economic decisions
competitiveness of Indian startups and MSMEs. in a country, by analysing policies and institutions
o It provides funding support of up to Rs 50 lakh of these countries.
for speedy development of the proposed o It does so by looking at indicators like
technology solution and/or product. regulation, freedom to trade internationally,
• It will be driven by Indian Space Research size of government, property rights,
Organization (ISRO), four ministries—Ministry of government spending and taxation.
Defence; Ministry of Food Processing Industries; • India is ranked 105th (79th in 2018) among 162
Ministry of Health and Family Welfare; and Ministry countries. Hongkong topped the index followed by
of Housing and Urban Affairs—and associated Singapore.
industries.
11.11. GLOBAL SMART CITY INDEX
11.8. ENTREPRENEURSHIP (SCI)
DEVELOPMENT INSTITUTE OF INDIA
• Index is released by Institute for Management
(EDII) Development, in collaboration with Singapore
• EDII, an autonomous and not-for-profit institute, University for Technology and Design.
set up in 1983, is sponsored by apex financial o Smart city is described as an urban setting that
institutions - IDBI Bank Ltd., IFCI Ltd., ICICI Bank Ltd. applies technology to enhance the benefits
and State Bank of India. and diminish the shortcomings of
• It aims to promote entrepreneurship, augment the urbanization.
pool of entrepreneurs in different sectors, assist in • 2020 SCI is topped by Singapore, followed by
capacity building and training in entrepreneurship Helsinki and Zurich in the second and the third
etc. place respectively.
• EDII is a nodal institution as a part of Government • Hyderabad was placed at the 85th position and
of Gujarat promoted Start-up Policy. New Delhi at 86th position.
• EDII has been selected by Ministry of Education to
11.12. GLOBAL INITIATIVE TO
establish Institution Innovation Council with an
aim to systematically foster the culture of REDUCE LAND DEGRADATION AND
Innovation. CORAL REEF PROGRAM LAUNCHED
• Initiatives were launched at Environment
11.9. SAROD-PORTS (SOCIETY FOR
Ministerial Meeting of the G20 countries.
AFFORDABLE REDRESSAL OF
• Global Initiative on Reducing Land Degradation:
DISPUTES-PORTS) aims to strengthen the implementation of existing
• It will help in settlement of disputes through frameworks to prevent, halt, and reverse land
arbitrations in maritime sector, including ports degradation within G20 member states and
and shipping sector in Major Port Trusts, Non- globally. It will take into account possible
major Ports, including private ports, jetties, implications on the achievement of other SDGs.
terminals and harbours. o In India about 29% of the land is undergoing
• It is established under Societies Registration Act, degradation.
1860 with following objectives: o India is signatory to the United Nations
o Affordable and timely resolution of disputes Convention to Combat Desertification.
in fair manner. o India’s goal is to achieve land degradation
o Enrichment of Dispute Resolution Mechanism neutral status by 2030, whereby increases in
with panel of technical experts as arbitrators. land degradation would be offset by gains in
• It will also cover disputes between granting land reclamation.
authority and Licensee/ Concessionaire/ • Global Coral Reef research and development
Contractor and also disputes between (R&D) Accelerator Platform: aims at creating a
Licensee/Concessionaire and their contractors global R&D program to advance research,
innovation and capacity building in all facets of

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 coral reef conservation, restoration, and and vibrant streets through quick, innovative, and
adaptation. low-cost measures.
o Coral reefs are some of the most bio diverse • Challenge requires each city to test at least one
and productive ecosystems. flagship walking project and enhance liveability in
o They act as natural barriers to shorelines, one neighbourhood.
protecting them damage and flooding from o Streets with high footfall zones can be
storms, hurricanes, and cyclones. considered as potential locations for flagship
o They absorb CO2. project.
o In India, Coral reefs are present in the areas of • Fit India Missionalong with India program of
Gulf of Kutch, Gulf of Mannar, Andaman & Institute for Transport Development and Policy
Nicobar, Lakshadweep Islands and Malvan have partnered with SCM to support the challenge.
(Maharashtra).
11.14. PANTANAL, BRAZIL
• It is World's Largest Wetland and sprawls over
more than 150,000 sq km in Brazil and also extends
into Bolivia and Paraguay.
• It is burning as vegetation compacted under the
marshy flood water during the wet season dries
out as ponds and lagoons evaporate, leaving
flammable deposits underground.
11.13. CLIMATE SMART CITIES
ASSESSMENT FRAMEWORK (CSCAF 11.15. MEDICANES
2.0) AND STREETS FOR PEOPLE
CHALLENGE LAUNCHED • Recently a medicane named Ianos made landfall
along the coast of Greece.
• CSCAF is a first-of-its-kind assessment framework • Medicanes (MEDIterranean hurriCANES) refer to
on climate relevant parameters launched in 2019 tropical stormlike cyclone observed across the
by Ministry of State for Housing and Urban Affairs Mediterranean Sea.
(MoHUA). o Medicanes occur more in colder waters than
• Its objective is to provide a clear roadmap for tropical cyclones, hurricanes and typhoons.
Indian cities towards combating climate change Hence, the cores of these storms are colder in
while planning their actions within city including comparison to the warm cores of tropical
investments. cyclones.
o It intends to inculcate a climate-sensitive o Since warmer cores tend to carry more
approach to urban planning and development. moisture (hence rainfall), are bigger in size and
• Framework has 28 indicators across five have swifter winds, medicanes are weaker and
categories: Energy and Green Buildings, Urban smaller in size than the tropical cyclones.
Planning, Green Cover & Biodiversity, Mobility and o Like tropical storms, medicanes have a
Air Quality, Water Management and Waste symmetric structure and a clearly visible eye.
Management. • The Mediterranean is a generally dry, evaporative
• Climate Centre for Cities under National Institute sea and cyclonic storms don’t grow as much.
of Urban Affairs is supporting MoHUA in According to a study published in 2011, only one or
implementation of CSCAF. two medicanes occur per year.
• However, recent studies have shown that
CSCAF 2.0
• Improved indicators with feedback from cities and
medicanes are likely to become a bigger problem
thematic experts
as the planet warms due to climate change.
• Simplified for easy understanding
o Warmer sea surface temperatures in the
Mediterranean can allow the storms to take on
• Alignment with Swach Survekshan& Ease of Living
more tropical appearances and characteristics,
• Standard evidence templates and data input
templates to support in data collection
increasing the wind speeds and making the
storms more intense -- with stronger winds and
• Centralized portal for data entry with dashboard to
heavier rainfall.
view real time updates
• Impact of La Nina: La Niña is is characterised by the
Streets for People Challenge unusual cooling of the central and east-central
equatorial Pacific Ocean.
• It is an initiative of Smart Cities Mission (SCM) that
aims to inspire cities to create walking-friendly

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 o A La Niña produces more rain in the central in multidimensional poverty between
eastern part, where most of the 2005/2006–2015/2016.
Mediterranean cyclones develop. The slopes
and the convection rising from sea waters can
combine to spin off these cyclonic storms that
become a Medicane.

11.16. STATE DISASTER RELIEF FUND

(SDRF)
• Prime Minister announced that States can spend
50% of SDRF for COVID-19 relief, earlier limit was
35%.
• SDRF, constituted under Disaster Management Act,
2005, can be used only for meeting expenditure
for providing immediate relief to victims during
any notified disaster.
o Home ministry had decided to treat Covid-19
11.18. LEVELS AND TRENDS IN CHILD
as a “notified disaster” for purpose of MORTALITY REPORT 2020 BY UNICEF
providing assistance under SDRF. • Report shows child mortality rates, from newborns
to adolescents,as well as progress made toward
11.17. NITI AAYOG TO LEVERAGE
meeting SDG targets by 2030.
MONITORING MECHANISM OF GLOBAL • Key Findings:
MULTIDIMENSIONAL POVERTY INDEX o Under-five mortality rates (U5MR) have
(MPI) declined by almost 60% since 1990, from 93 to
• Government has decided to monitor the 38 in 2019. SubSaharan Africa has the highest
performance of country in 29 select Global Indices U5MR.
through “GlobalIndices to Drive Reforms and ▪ Nigeria and India account for almost a
Growth (GIRG)” exercise. third.
o Global MPI is part of this and NITI Aayog as the o Newborn mortality is not decreasing as
nodal agency of MPI has been assigned the quickly as mortality among children aged 1 to
responsibility of leveraging monitoring 59 months.
mechanism of MPI to drive reforms. ▪ In 2019, 47 % of all under-five deaths
o It has also set up MPI Coordination Committee occurred in the neonatal period (40% in
(MPICC) in this regard. 1990).
o Adolescent mortalityhas declined by nearly
• Objective of GIRG exercise is to
40% since 1990
o Measure and monitor India’s performance on
o In 2019, 122 countries had achieved U5MR
various important social and economic
below SDG target of 25 or fewer deaths per
parameters.
1,000 live births.
o Use these indices for self-improvement, bring
o India witnessed a decrease in neonatal
about reforms in policies, improving last-mile
mortality rates between 1990 and 2019 from
implementation of government schemes etc.
57 to 22.
• About Global MPI
▪ Sex-specific U5MR in 1990 stood at 122
o It is an international measure of
males and 131 females. It has declined to
multidimensional poverty covering 107
34 males and 35 females in 2019.
developing countries. It identifies both who is
• Access to life saving interventions is critical
poor and how they are poor.
toensuring steady mortality declines in low-
o It is computed by scoring each surveyed
andmiddle-income countries.
household on 10 parameters in three equally
weighted dimensions- health, education and • Under-five mortality rate: It is probability of dying
standard of living (see infographic). between birth and exactly 5 years of age, expressed
▪ It utilises the National Family Health per 1,000 live births.
Survey (NFHS). • Neonatal mortality rate:Probability ofdying between
o According to Global MPI 2020, India is ranked birth and 28 days of age, expressed per1,000 live
62nd and also accounted for largest reduction births.

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 • Adolescent (ages 10–19) mortality rate: Probability 11.21. MINISTRY FOR SOCIAL JUSTICE
of dying between 10 and 19 years of age, expressed
AND EMPOWERMENT (MOSJE)
per 1,000 children aged 10.
LAUNCHES AMBEDKAR SOCIAL
11.19. POSHAN MAAH INNOVATION & INCUBATION MISSION
(ASIIM)
• Month of September every year is celebrated as
RashtriyaPoshanMaah. • ASIIM is launched under Venture Capital Fund for
• During this month activities related to nutrition SCs (VCF-SC) to promote innovation and enterprise
awarenessand POSHAN Abhiyaanwill be carried among Scheduled Castes (SC) students studying in
out by all the states/UTs up to the grass root level. higher educational institutions (HEI).
• POSHAN Abhiyaan (National Nutrition Mission) is o VCF-SC (by MoSJE) is for developing
India’s flagship programme, launched in 2018 to entrepreneurship amongst SC and Divyang
improve nutritional status of children, adolescent youth, by providing concessional finance to
girls, pregnant women and lactating mothers. entities of SC entrepreneurs, and enabling
them to become Job-Givers.
11.20. MINISTRY OF SOCIAL JUSTICE • Under ASIIM, 1,000 initiatives of SC youth would
AND EMPOWERMENT FRAMES be identified and funded up to Rs. 30 lakhs in three
TRANSGENDER PERSONS year as equity.
(PROTECTION OF RIGHTS) RULES, • Objectives of ASIIM are:
2020 o Promoting entrepreneurship among SC Youth
with special preference to Divyangs.
• Rules are issued under Transgender Persons o Supporting (1,000) innovative ideas till 2024
(Protection of Rights) Act, 2019. Act aims to through Technology Business Incubators (TBIs)
protect the rights of transgender persons by ▪ TBIs are set up by Department of Science
granting them recognition and making welfare and Technology in HEI.
provisions for them. o Support, promote, hand-hold the start-up
o Earlier, Centre had constituted the National ideas till they reach commercial stage by
Council for Transgender Persons under the providing liberal equity support;
act. o Incentivise students with innovative mind-set
• Key Features are: to take to entrepreneurship with confidence.
o District Magistrate (DM) will certify the • Other initiatives for economic development of SCs
gender of a person based on an affidavit by the o Stand-up India scheme for financing
applicant, without any medical or physical SC/Stand/or women entrepreneurs.
examination. o National Scheduled Castes Finance &
o State governments to constitute welfare Development Corporation to financing income
boards for transgender persons to protect generating activities of SCs.
their rights and interests, and facilitate access o Credit Enhancement Guarantee Scheme for
to schemes and welfare measures framed by SCs to support entrepreneurs.
the Centre.
o Provides for review of all existing educational, 11.22. KIRAN
social security, health schemes, welfare
• It is a 24x7 Toll-Free Mental Health Rehabilitation
measures etc. to include transgender persons.
Helpline to provide support for issues like early
o State governments are required to take steps
screening, first-aid, psychological support, distress
to prohibit discrimination of transgender
management, mental well-beingetc.
persons in any government or private
• It will offer services in 13 languages.
organisation, or private and public educational
• It was launched by Department of Empowerment
institution under their purview
of Persons with Disabilities under Ministry of
o Transgender-sensitive infrastructure such as
Social Justice & Empowerment.
separate wards in hospitals and washrooms be
constructed within two years of the Rules 11.23. INDIA POST LAUNCHES FIVE
being notified. STAR VILLAGES SCHEME
o State governments have to set up Transgender
Protection Cell to monitor cases of offences • It aims to ensure universal coverage of flagship
against transgender persons. postal schemes in rural areas of the country.
o Schemes covered under this include: Savings
Bank accounts, Sukanya Samridhi Accounts/

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 PPF Accounts, Postal Life Insurance Policy/ 11.27. INDRA NAVY
Rural Postal Life Insurance Policy etc.
• It seeks to bridge the gaps in public awareness and • It is a biennial bilateral maritime exercise between
reach of postal products and services, especially in Indian Navy and Russian Navy. It is scheduled in
interior villages. the Bay of Bengal from 04 to 05 September 2020.
• If a village attains universal coverage for four • Exercise is aimed at enhancing interoperability,
schemes from the above list, then that village gets improving understanding and imbibing best
four-star status; if a village completes three practices between the two navies.
schemes, then that village get three-star status and • It would involve surface and anti-aircraft drills,
so on. firing exercises, helicopter operations,
seamanship evolutions etc.
11.24. DEFENCE INDIA
STARTUPCHALLENGE-4 (DISC 4) 11.28. PASSAGE EXERCISE (PASSEX)
• DISC 4 is aimed at expanding the horizons of • Indian Navy and the Royal Australian Navy
Innovations for Defence Excellence (iDEX) conducted PASSEX in Eastern Indian Ocean Region
ecosystem. (IOR).
o iDEX initiative was launched in 2018 with the o PASSEXs are regularly conducted by the Indian
objective to encourage and nurture Navy with units of friendly foreign navies
innovations and to develop an effective • It is aimed at enhancing interoperability,
defence Startup ecosystem in the country improving understanding and imbibing best
• Under Defence DISC 4, eleven challenges from practices from each other.
Armed forces were thrown open to prospective • It comes in the backdrop of growing activities by
startups, innovators and MSMEs to provide the Chinese navy in the IOR.
innovative ideas • Other military exercises with Australia: Ex AUSTRA
HIND, Ex AUSINDEX, EX PITCH BLACK
11.25. SUCCESSFUL FLIGHT TEST OF
ABHYAS 11.29. JIMEX 20
• Abhyas is a High-speed Expendable Aerial Target • It is a bilateral exercise which is conducted
(HEAT) which is designed and developed by biennially between the Indian Navy and Japanese
Aeronautical Development Establishment under Maritime Self-Defense Force. It will be held in
DRDO.. North Arabian Sea from 26 to 28 September 2020.
• It is an unmanned aerial vehicle based on o JIMEX commenced in 2012 with special focus
microelectromechanical systems (MEMS) on maritime security cooperation.
navigation system. • JIMEX 20 will showcase high degree of inter-
• It uses indigenously developed MEMS-based operability and joint operational skills through
navigation system for its navigation and guidance. conduct of a multitude of advanced exercises,
across the spectrum of maritime operations.
11.26. SPECIAL FRONTIER FORCE • Other military exercise between India and Japan:
(SFF) Ex DHARMA GUARDIAN

• According to some reports SFF, referred to as Vikas 11.30. HIMALAYAN CHANDRA

Battalion, has been instrumental in occupying TELESCOPE
some key heights on Line of Actual Control (LAC)
with China in Ladakh. • Recently, a workshop was conducted to mark 20
• SFF was raised in the immediate aftermath of the years of Himalayan Chandra Telescope.
1962 Sino-India war. It was a covert outfit which • The optical-infrared telescope that aims to study
recruited Tibetans (now it has a mixture of solar system bodies and star formation in external
Tibetans and Gorkhas). galaxies.
o It falls under the purview of the Cabinet • It is installed at Indian Astronomical Observatory
Secretariat. (IAO), Ladakh.
o It is nicknamed Establishment 22 • It is remotely operated using a dedicated satellite
• SFF units are not part of the Army but they function communication link from the Centre for Research
under operational control of the Army. & Education in Science &Technology, Indian
Institute of Astrophysics (IIA).

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• It is named after India-born Nobel laureate o Proximity to Earth’s equator: India prefers its
Subrahmanyam Chandrasekhar. spaceports as close to the equator as possible
o Subrahmanyan Chandrasekhar was one of the and located on the east coast for two reasons:
first scientists to couple the study of physics ▪ Earth’s rotation provides a speed boost to
with the study of astronomy. rockets launched and strength of the
o He proved that there was an upper limit to the boost is higher closer to the equator.
mass of a white dwarf. This limit, known as the ▪ In the event of a failure, debris from an
Chandra limit, showed that stars more massive explosion would fall into the Bay of
than the Sun would explode or form black Bengal instead of land, potentially saving
holes as they died. property and lives.
o In 1983 he was awarded the Nobel Prize in
Physics for his work on the physical processes 11.32. SUN HAS BEGUN A NEW SOLAR
involved in the structure and evolution of stars. CYCLE
• Significance:
• NASA and the National Oceanic and Atmospheric
o The telescope has been used in many
Administration announced their predictions about
coordinated international campaigns to
the new solar cycle, called Solar Cycle 25. It started
monitor stellar explosions, comets, and exo-
in December 2019.
planets, and has contributed significantly to
• Sun is a huge ball of electrically-charged hot gas.
these studies.
This charged gas moves, generating a powerful
o The building, maintaining, and effective
magnetic field. The Sun's magnetic field goes
scientific use of the Himalayan Chandra
through a cycle, called the solar cycle.
Telescope has given observational astronomy
o Every 11 years or so, Sun's magnetic field
community experience and confidence to be
completely flips. This means that the Sun's
the creators and international partners in the
north and south poles switch places.
best of next-gen optical telescopes.
• Scientists track a solar cycle by using sunspots. A
11.31. INDIA’S SECOND ROCKET Sunspot is an area on the Sun that appears dark on
LAUNCH PAD the surface as they are relatively cooler than
surrounding parts.
• India’s second rocket launch pad is being setup in o Beginning of a solar cycle is a solar minimum,
Thoothukudi (formerly known as Tuticorin) district or when the Sun has the least sunspots. Over
in Tamil Nadu. time, solar activity, and the number of
• The project will house one launch pad exclusively sunspots, increases.
for small satellite launch vehicles (SSLV). • During a solar cycle, giant eruptions on the Sun,
• India presently has one rocket port at Sriharikota in such as solar flares and coronal mass ejections also
Andhra Pradesh with two launch pads. increases.
• Why was Thoothukudi chosen? o Eruptions can have a major effect on radio
o Geostrategic Location: In polar missions, the communications, Global Positioning Systems
PSLV from Sriharikota must perform a dogleg (GPS) connectivity, power grids, and
manoeuvre (deviation of rocket from straight satellites.
flight path) to avoid flying over Sri Lanka, to
protect it from rocket debris. 11.33. SCIENTIFIC AND USEFUL
▪ Rockets launched from Thoothukudi don’t PROFOUND RESEARCH ADVANCEMEN T
require this manoeuvre as there is no (SUPRA) SCHEME
landmass along the flight path in the
• It seeks to explore new scientific breakthroughs,
southward direction. It will also save the
with long-term impact on fundamental scientific
rocket’s fuel as well as improve the
understanding, and offer disruptive technologies at
payload capability.
the cutting edge.
o Proximity to critical infrastructure:
• Important measures of the scheme are: Quantum
Thoothukudi is around 70-100 kms away from
of advances, Ability of research outcomes in
ISRO’s Liquid Propulsion Systems Centre
enhancing scientific knowledge, Global impact,
(LPSC) in Tirunelveli. This will save time and
outstanding publications etc.
cost of transportation as compared to
Sriharikota launch pad. • It is designed by Science and Engineering Research
Board (SERB).
o SERB is a statutory body under the
Department of Science and Technology to

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 promote basic research in Science and Planetary Sciences, Engineering Sciences,
Engineering and to provide financial assistance Mathematical Sciences, Medical Sciences and
to persons engaged in such research. Physical Sciences.
• The submissions under SERB-SUPRA can only be • Eligibility: Any citizen of India up to the age of 45
made against call for proposals, with public years. Overseas citizen of India and Persons of
announcement through SERB online portal and Indian Origin working in India are also eligible.
social media. • The award is named after the founder Director of
• The funding will be provided normally for a period the Council of Scientific & Industrial Research.
of three years, which could be extended to 2 years
(5 years total). 11.37. SAATHI INITIATIVE

11.34. UNITED NATIONS CHILDREN’S • Ministry of Tourism has partnered with the Quality
Council of India (QCI), to assist the Hospitality
FUND (UNICEF) TO LEAD GLOBAL
Industry through an initiative called SAATHI
PROCUREMENT, SUPPLY OF COVID (System for Assessment, Awareness and Training
VACCINES for Hospitality Industry).
• UNICEF will lead this effort on behalf of COVAX • It seeks to:
Facility for 92 low- and lower middle-income o sensitize the industry on the COVID regulations
countries. It will also serve as procurement by the government
coordinator to support 80 higher-income o instill confidence amongst the staff and guests
economies. that the hospitality unit has exhibited intent
o COVAX is a global initiative to ensure COVID-19 towards ensuring safety and hygiene at the
vaccines are available worldwide to both workplace.
higher-income and lower-income countries. • This initiative is in 3 phases:
• UNICEF is the world’s largest single vaccine buyer, o Self Certification by the hotels
procuring more than 2 billion doses of various o Webinars to builds capacities on the guidelines
vaccines annually for routine immunisation and issued.
outbreak response on behalf of nearly 100 o Site-assessment (optional) through QCI
countries. accredited agencies
• United Nations World Tourism Organisation
11.35. GHAR TAK FIBRE SCHEME (UNWTO) has designated 2020 as the Year of
Tourism and Rural Development.
• Recently, ‘Ghar tak Fibre’ Scheme was inaugurated
by the Prime Minister. 11.38. 25TH BIRTH ANNIVERSARY OF
• Ghar Tak Fibre scheme will connect all 45,945 SRI VISWANATHA SATYANARAYANA
villages of Bihar through optical fibre internet
service. • He was a Telugu writer whose works included
• The project will lead digital services including e- poetry, novels, drama, short stories and speeches,
Education, e-Agriculture, Tele-Medicine, Tele-law • In 1971 he was awarded with Jnanpith Award for
and other social security schemes in Bihar his book “Ramayana Kalpavriksham”. He was the
ensuring easy access to all state natives. first telugu writer to receive Jnanpith Award.
• It will entail implementation of 1 wi-fi and 5 free o Jnanpith Award is presented by the Bharatiya
of cost connections to government institutions Jnanpith (a literary and research organisation)
including primary schools, Anganwadi Centres, to an author for their outstanding contribution
Aasha workers and Jeevika Didi. towards literature.
• The project will be jointly executed by Department • His ‘Veyipadagalu’ was translated into Hindi by
of Telecommunications CSC e-Governance former Prime Minister PV Narasimha Rao as
Services Ltd., an SPV of Ministry of Electronics & Sahasraphan.
IT. • Some of his poems and novels have been
translated into English, Hindi, Tamil, Malayalam,
11.36. SHANTI SWARUP BHATNAGAR Urdu and Sanskrit.
(SSB) PRIZE
• It is given each year for outstanding contributions
to science and technology.
• Disciplines covered are Biological Sciences,
Chemical Sciences, Earth, Atmosphere, Ocean and

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11.39. RARE RENATI CHOL • They were originally independent, later forced to
INSCRIPTION UNEARTHED suzerainty of Eastern Chalukyas.

• Inscription was unearthed in Kadapa district of 11.40. DESTINATION NORTH EAST-

Andhra Pradesh. It is written in archaic Telugu 2020'
language.
• It is an annual festival organised by the Ministry of
o It shows record of a gift of six Marttus (a
Development of North Eastern Region.
measuring unit) of land gifted to a Brahmin
• Objective is to take the north-eastern region to
• It was assigned to 8th Century A.D., when region
other parts of the country and bringing them
was under the rule of Chola Maharaja of Renadu.
closer together in order to strengthen national
o Telugu Cholas of Renadu (also called as Renati
integration.
Cholas) ruled over Renadu region,present day
• For this year, theme is The Emerging Delightful
Cuddapah district.
Destinations.

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