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Surat, renowned for its diamond industry, is currently experiencing a significant downturn due to various global economic and geopolitical challenges.
This crisis has led to widespread layoffs, pay cuts, and financial distress among the workers.
Causes of the Crisis
Impact on Workers
Government and Industry Response
Conclusion
The crisis in Surat’s diamond industry underscores the vulnerability of local economies to global factors and highlights the urgent need for support to sustain livelihoods.
The Jharkhand High Court has directed the state government to identify and take action against illegal immigrants from Bangladesh residing in the Santhal Parganas region.
This order comes in response to a public interest litigation (PIL) alleging a significant demographic shift in the area.
Key Points
Status of Migration Across the Globe
Migration is the movement of people from one place to another, typically involving a change of residence. This movement can occur within a country (internal migration) or between countries (international migration). It can be temporary or permanent, depending on the individual’s intentions and circumstances. Overview · Growing Phenomenon: Migration is increasing globally, with around 3.6% of the world’s population (approximately 281 million people) living outside their birth country. · Diverse Motivations: People migrate for various reasons, including economic opportunities, conflict, environmental factors, and social/political issues. Key Drivers of Migration · Economic Factors: · Job opportunities · Higher wages · Improved living standards · Access to education and healthcare Conflict and War: · Armed conflicts · Civil wars · Political instability Environmental Factors: · Natural disasters · Climate change Social and Political Factors: · Discrimination · Persecution · Human rights violations · Lack of freedom |
Challenge in Quantifying Illegal Immigration in India
Unfortunately, providing precise numbers on illegal immigration in India is extremely difficult due to several factors:
India has faced a series of unexpected challenges in its South Asian neighborhood since the beginning of this decade.
These events, including political upheavals and changes in governance, have significant implications for India’s foreign policy and regional stability.
Key Challenges
Lessons for India
Broader Implications
Conclusion
India must learn from recent regional shifts to enhance its diplomatic strategies, ensuring a balanced approach that secures its interests while promoting regional stability and democratic values.
India’s Insolvency and Bankruptcy Code (IBC) is facing a critical juncture.
While designed to streamline corporate restructuring and debt recovery, the process has been marred by delays and low recovery rates.
Key Findings
India’s Insolvency and Bankruptcy Code (IBC)
· The IBC, introduced in 2016, is a landmark reform in India’s financial landscape. · It serves as the nation’s bankruptcy law, consolidating and amending existing regulations for insolvency andbankruptcy across corporate entities, partnerships, and individuals. What is Insolvency and Bankruptcy? · Insolvency: When an individual or organization’s liabilities (debts) exceed its assets, rendering them unable to meet financial obligations. · Bankruptcy: A legal declaration acknowledging an entity’s inability to repay debts. The Purpose of IBC The IBC aims to: · Establish a time-bound and creditor-driven insolvency resolution process. · Improve India’s credit culture and business environment. · Resolve claims involving insolvent companies, addressing the bad loan problem impacting the banking system. Regulating and Adjudicating Authorities · Insolvency and Bankruptcy Board of India (IBBI): A statutory body overseeing the creation and implementation of regulations for insolvency and bankruptcy resolution across various entities. · National Company Law Tribunal (NCLT): Handles insolvency cases involving companies and other limited liability entities. · Debt Recovery Tribunal (DRT): Deals with insolvency cases involving individuals and partnership firms (excluding Limited Liability Partnerships). Key Achievements of IBC · Debt Resolution: Since its inception, IBC has resolved a substantial amount of debt (over Rs. 3.16 lakh crore) stuck in numerous cases. · Improved Recovery Rates: IBC offers better recovery rates compared to previous mechanisms, with creditors realizing an average of 32% on admitted claims. · Deterrent Effect: Fear of losing control under IBC has nudged borrowers to proactively settle over Rs. 9 lakh crore in debt before insolvency proceedings. Challenges and Proposed Solutions · Resolution Delays: The average resolution time is increasing, creating bottlenecks. · Case Backlog: A significant backlog of pending cases requires attention. · Limited Scope: The pre-pack resolution process needs to be expanded for faster resolution. · CRISIL’s CDE Approach for Improvement · Capacity Augmentation (C): Boosting infrastructure and human resources at NCLT and other institutions to manage increased caseloads. · Digitalisation (D): Creating a digital platform for improved communication and data transparency between all stakeholders. · Expansion (E): Extending the pre-pack resolution process to large corporations to expedite resolution and minimize value erosion. |
Conclusion
While the government is taking steps to improve the IBC framework, the challenges of long resolution times, a high number of pending cases, and low recovery rates persist. Addressing these issues is crucial for the effective functioning of the insolvency resolution process in India.
Multiple Choice Question:
Select the correct answer using the code given below:
ANSWER: D
EXPLANATION:
The IBC provides a time-bound process to resolve insolvency for both corporate and individual debtors.
The National Company Law Tribunal (NCLT) is the adjudicating authority for corporate insolvency resolution under the IBC.
The Insolvency and Bankruptcy Board of India (IBBI) is responsible for the implementation and regulation of the IBC.
The GST Council is set to meet on September 9, 2024, to discuss crucial issues related to the Goods and Services Tax (GST) regime, including rate rationalization and tax structure adjustments.
Key Agenda
Previous Meeting Updates
Expectations
GST Council:
The Goods and Services Tax (GST) regime was introduced after the Constitutional (122nd Amendment) Bill was passed by both Houses of Parliament in 2016. Ratification: Following parliamentary approval, more than 15 Indian states ratified the bill in their state assemblies. Subsequently, the President of India gave his assent, leading to the formal implementation of the GST. About the GST Council · Formation: The GST Council was established by the President of India as per Article 279A(1) of the amended Constitution. · Nature: It serves as a joint forum of the Central and state governments, ensuring cooperative federalism in the administration of the GST. Composition · Comprises the Union Finance Minister (Chairperson), Union Minister of State for Revenue or Finance, and Finance Ministers of all states and union territories. · Secretariat headed by the Union Revenue Secretary. Functions and Responsibilities · Recommendations: The Council’s primary role, as outlined in Article 279A, is to provide recommendations to both the Union and state governments on various GST-related matters. · Key Issues: These include determining the goods and services subject to GST, exemptions, and formulating model GST laws. · Rate Determination: The Council also decides on the GST rate slabs applicable to different categories of goods and services. · Decides on the apportionment of GST revenue between the Centre and states.
Importance · The GST Council plays a crucial role in ensuring uniformity in the application of GST across India, balancing the interests of both the Centre and the states, and facilitating smooth tax governance under the GST regime. |
Conclusion
The upcoming GST Council meeting is critical for addressing pending issues in the GST framework, with a focus on ensuring efficient tax policies and compliance.
Multiple Choice Question:
Select the correct answer using the code given below:
ANSWER: B
EXPLANATION:
The GST Council is chaired by the Union Finance Minister, not the Prime Minister.
The GST Council was established as per Article 279A of the Constitution.
The GST Council is responsible for making recommendations on various GST-related matters, including the rate slabs.
The recent shift in India’s approach to scientific research suggests an increasing corporatisation of the sector.
This change is characterized by the integration of market-oriented policies into the functioning of research institutions, influencing how science is conducted and funded in the country.
Government’s Approach to Science
Anusandhan National Research Foundation (ANRF)
Impact of Market-Driven Science
India’s Recent Major Achievements in Science & Technology
Biotechnology · Rapid development and production of indigenous COVID-19 vaccines like Covaxin. · Large-scale vaccine manufacturing for domestic use and global supply initiatives (Vaccine Maitri). Renewable Energy · Record-low solar power costs. · Pioneering floating solar projects (e.g., Kayamkulam Floating Solar Power Plant). · Advancements crucial for achieving renewable energy targets and net-zero emissions goals. Agriculture · Development of high-yielding, climate-resilient, and biofortified crop varieties by Indian Council of Agricultural Research (ICAR). · Crucial innovations for food security and sustainable agriculture in a changing climate. 5G and 6G Technology · Indigenous 5G NSA Core successfully developed and tested by Centre for Development of Telematics (C-DOT). · “Digital Communications Innovation Square (DCIS)” Scheme to advance indigenous 5G and emerging technologies. · Nokia’s 6G Lab in Bangalore spearheading research in next-generation wireless technology. · Initiatives aim to position India as a leader and reduce dependence on foreign vendors. Space Exploration · Chandrayaan-3’s successful soft landing on the Moon’s south pole (August 2023). · India became the 4th country to achieve a lunar landing and the first to reach the Moon’s south pole. · Paves the way for future lunar exploration and resource utilization missions. · Indian Space Policy 2023 and Indian National Space Promotion and Authorisation Centre (IN-SPACe) for further development. Other Key Achievements · Quantum Technology: I-Hub Quantum Technology Foundation (I-Hub QTF) and National Quantum Mission for quantum computers, communication systems, and sensors. · Supercomputing: PARAM Siddhi-AI, one of the world’s most powerful supercomputers, for AI research, scientific simulations, and big data analytics. · Genomics: Genome India Project to create a reference database for the Indian population and contributions to global SARS-CoV-2 virus sequencing efforts. · Nanotechnology: Novel nanomaterials for biodegradable implants and microplastic removal from water. Challenges and Considerations · Low Investment: R&D spending remains low (0.7% of GDP) compared to global averages and needs. · Brain Drain: Loss of top researchers and scientists to better opportunities abroad. · Bureaucracy: Complex procurement procedures and red tape hinder progress. · Education Gap: Disconnect between academic curricula and industry needs, leading to a shortage of skilled researchers. · Research Quality: Concerns about paper quantity over quality exist despite high research output. · Gender Gap: Underrepresentation of women in STEM fields limits diversity and talent pool. · Intellectual Property: Low patent creation and grant rates compared to other countries. · Launch “Reverse Brain Drain” programs to attract Indian scientists abroad. |
Concerns and Criticism
Conclusion
The corporatisation of science research in India highlights the government’s push towards market-driven research. While this approach may boost innovation and commercialization, it raises concerns about the neglect of basic science, public trust, and academic freedom.
The proliferation of invasive mussels, particularly the charru mussel, along the Indian coast, especially near Kamarajar Port, has raised concerns about its impact on marine ecosystems and the livelihood of fishermen.
The Tamil Nadu Water Resources Department has attributed the issue to the unregulated discharge of ballast water by ships.
What is Ballast Water?
Invasive Species and Ballast Water
Global Regulations
BWM Convention
Ballast Water Management (BWM) Convention: This is an international treaty administered by the International Maritime Organization (IMO). · Purpose: To prevent the spread of harmful aquatic organisms and pathogens through ships’ ballast water. · Implementation: Ships must treat or exchange ballast water before discharge. · Entry into Force: September 8, 2017. · Monitoring and Enforcement: Requires robust systems to check compliance. India and BWM Convention · Non-Party: India is not a signatory to the BWM Convention. · Impact: Lack of regulation leads to unregulated ballast water discharge in Indian ports. · Consequences: Increased risk of invasive species introduction, harming marine ecosystems and fisheries. · Economic Implications: Loss of livelihood for coastal communities dependent on fisheries. Asian Countries and BWM Convention · Leading Countries: Countries like Japan, South Korea, and Singapore have implemented strict regulations. · Challenges: Some countries face difficulties in implementing the convention due to financial constraints and technical expertise. · Regional Cooperation: Regional cooperation is essential for effective implementation and monitoring. Importance of Ratifying BWM Convention for India · Protecting Marine Ecosystems: Preventing introduction of harmful invasive species. · Safeguarding Fisheries: Ensuring sustainable livelihoods for coastal communities. · International Image: Demonstrating commitment to environmental protection. · Economic Benefits: Potential for developing a ballast water treatment industry. |
Consequences
Way Forward
The recent Elon Musk and Donald Trump interview on X (formerly Twitter) faced significant glitches due to a Distributed Denial of Service (DDoS) attack.
Key Points
Conclusion
DDoS attacks pose a significant threat to online infrastructure and businesses. Understanding these attacks and implementing effective countermeasures is vital for ensuring the resilience of digital systems.
In Great Nicobar Island, a port was won, a wildlife sanctuary lost.
Key Issues
The Great Nicobar Project
Implications
GREAT NICOBAR ISLAND PROJECT:
Location: · Southernmost island of the Andaman and Nicobar Islands. · Strategically located near major shipping routes. Ecosystem: · Tropical wet evergreen forests. · Mountain ranges exceeding 600 meters. · Rich biodiversity with endangered species like the leatherback sea turtle. · Home to the Shompen tribe (hunters-gatherers) and Nicobarese tribe (relocated after 2004 tsunami). Project Proposal: · Multi-development project with a budget of Rs. 72,000 crore. · Includes: · International container trans-shipment terminal (ICTT) · Greenfield international airport · Township development · Power plant Aims: · Leverage island’s location for economic benefits. · Participate in global maritime trade. · Bolster India’s strategic presence in the Indo-Pacific region. Criticisms: Environmental Impact: · Project area falls under ecologically sensitive Coastal Regulation Zones (CRZ-IA & IB). · Concerns about damage to endangered species’ habitats (nesting grounds, coral reefs). · Potential loss of tree cover and mangroves. Inadequate Assessment: · Critics argue environmental impact assessments were not comprehensive. Impact on Tribes: · Potential encroachment on tribal lands despite protected status. National Green Tribunal (NGT) Intervention: · Kolkata Bench declined to halt the project in April 2023. · Ordered formation of a high-power committee to review clearances. · Committee’s report status remains unclear. |
Conclusion
The Great Nicobar case serves as a stark reminder of the challenges in balancing development and environmental protection. It underscores the urgent need for robust environmental safeguards, transparent decision-making, and accountability to prevent similar occurrences in the future.
Multiple Choice Question:
ANSWER: C
EXPLANATION:
The Ten Degree Channel is the strait that connects the Bay of Bengal with the Andaman Sea. It lies between the Andaman and Nicobar Islands.
The other options are incorrect as:
Palk Strait connects the Bay of Bengal with the Arabian Sea.
Duncan Passage is a narrower channel within the Andaman and Nicobar Islands.
Strait of Malacca is located much further south, connecting the Andaman Sea with the South China Sea.