GS Analyst: Daily Current Affairs

Every year on November 15th, Janjatiya Gaurav Divas is celebrated to honor the contributions of India’s tribal communities, especially in the country’s freedom struggle. The day marks the birth anniversary of Bhagwan Birsa Munda, a tribal leader and freedom fighter, whose legacy continues to inspire.

Who Was Birsa Munda?

• Birsa Munda was born in 1875 in the Chota Nagpur Plateau and belonged to the Munda tribe.
• Initially, he joined a German Mission school and converted to Christianity, but later renounced it and dropped out of school.
• Birsa Munda created a new faith called Birsait, which worshipped only one god.
  • This religion quickly gained popularity among the Munda and Oraon tribes. Due to his influence, he came to be known as the ‘Father of the Earth’.
• During the 1880s, Birsa witnessed the Sardari Larai movement, which advocated for the restoration of tribal rights through non-violent methods. However, the British colonial government ignored these demands, leading Birsa to take more direct action.

Munda Rebellion (Ulgulan)

• The Munda Rebellion, also known as Ulgulan or "the Great Tumult," was led by Birsa Munda against the British colonial authorities and exploitative outsiders, known as dikus.
• The movement aimed at establishing Munda rule in the region.
• Reasons for the Revolt: In 1874, the British replaced the Munda tribe’s traditional Khuntkari system with the Zamindari system, creating new classes of landlords (zamindars) and tenants (ryots). This change intensified forced labor (vethbigari) and left the tribals reliant on moneylenders, deepening their exploitation.
• Impact: The Munda revolt led to the Chhota Nagpur Tenancy Act of 1908, which restricted the transfer of tribal land to non-tribals and provided relief to the Adivasis. This act became landmark legislation in protecting tribal rights and securing their land.

Tribal Contributions to India's Independence

• Tribal movements against British rule, like the Ulgulan (Revolution)led by Birsa Munda, were not only pivotal in challenging British oppression but also inspired a national awakening.
• Birsa Munda, revered as Bhagwan by tribal communities, led a fierce resistance against the exploitative colonial system, making his birth anniversary on 15th November a fitting occasion to honor tribal heroes.
• Across various regions, tribes such as the Santhals, Munda, Ho, Pahadia, Oraon, and others led sustained resistance movements.
• Tribal movements like the Khasi-Garo movement, Mizo movement, Kol movement, etc. are integral chapters in India’s history.
• Tribal Movements Across India:
  • East India: Santhals, Munda, Oraon, Ho, and others.
  • Northeast India: Khasi, Naga, Mizo, and others.
  • South India: Gonds, Kurichya, and others.
  • Central India: Halba, Muriya, Koi.
  • West India: Bhil, Koli, Mina, and others.
• Many of these tribes launched significant rebellions against British rule, with leaders such as Tilka Majhi, Veer Surendra Sai, Sidhu and Kanu Murmu, Rani Gaidinliu, and others becoming iconic figures in the freedom struggle.

India's Commerce Minister has called for the Reserve Bank of India (RBI) to reduce interest rates to boost economic growth.

What is an RBI’s Interest Rate?

• Repo rate is the rate at which the central bank of a country (Reserve Bank of India in case of India) lends money to commercial banks in the event of any shortfall of funds.
  • Repo rate is used by monetary authorities to control inflation.
• In the event of inflation, central banks increase repo rate as this acts as a disincentive for banks to borrow from the central bank. This ultimately reduces the money supply in the economy and thus helps in arresting inflation.
• The central bank takes the contrary position in the event of a fall in inflationary pressures. Repo and reverse repo rates form a part of the liquidity adjustment facility.

How Can the Reserve Bank of India (RBI) Reduce Interest Rates?

• The Reserve Bank of India (RBI) is India's central bank, and it plays a crucial role in controlling the country’s monetary policy, including interest rates.
• RBI can reduce interest rates in the following ways:
  • By lowering the Repo Rate: The repo rate is the rate at which commercial banks borrow money from the RBI. When the RBI lowers the repo rate, it becomes cheaper for commercial banks to borrow money. As a result, the banks lower their lending rates (like the home loan interest rates) to borrowers. This helps stimulate investment and consumption in the economy.
  • By lowering the Reverse Repo Rate: The reverse repo rate is the rate at which commercial banks deposit excess funds with the RBI. When the RBI lowers this rate, it discourages banks from keeping money with the RBI and encourages them to lend more to businesses and individuals.
  • By changing the Cash Reserve Ratio (CRR): The CRR is the percentage of a bank’s total deposits that it must keep with the RBI in reserve. When the RBI reduces the CRR, it allows commercial banks to keep more funds for lending, which can reduce interest rates.
  • Open Market Operations (OMO): The RBI also buys and sells government securities in the open market to control liquidity (the amount of money in the economy). When the RBI buys government bonds, it injects money into the economy, which can help reduce interest rates.

What is Monetary Policy?

• Monetary Policy refers to the actions taken by a country’s central bank (in India, the RBI) to control the money supply, manage inflation, and stabilize the economy.
• It influences economic activity by adjusting interest rates and regulating the supply of money.
• There are two main types of monetary policy:
  • Expansionary Monetary Policy (Loose Policy):
    • It is aimed at stimulating the economy.
    • It is used when the economy is slowing down or facing a recession.
    • The central bank lowers interest rates to make borrowing cheaper, which encourages businesses to invest and consumers to spend.
    • It increases the money supply, making it easier for people to borrow money and spend it.
    • Example: If the RBI lowers the repo rate, it makes loans cheaper and encourages investment and spending, boosting the economy.
  • Contractionary Monetary Policy (Tight Policy):
    • It is aimed at controlling inflation or an overheating economy.
    • It is used when the economy is growing too quickly, and prices are rising too fast (inflation).
    • The central bank raises interest rates to make borrowing more expensive and to reduce the money supply in the economy.
    • It aims to reduce inflation by discouraging excessive borrowing and spending.
    • Example: If the RBI raises the repo rate, loans become more expensive, and people borrow less, which helps slow down inflation.

How Does RBI’s Monetary Policy Affect the Economy?

• Controlling Inflation: If prices rise too quickly (high inflation), the RBI may raise interest rates to slow down borrowing and spending, reducing inflation.
• Encouraging Economic Growth: During a slowdown or recession, the RBI might lower interest rates to make borrowing cheaper. This encourages businesses to invest and consumers to spend, boosting economic activity.
• Managing the Exchange Rate: Changes in interest rates can influence the value of a country’s currency. For example, higher interest rates attract foreign investors, which can increase demand for the local currency, making it stronger.
• Balancing Growth and Inflation: The RBI needs to balance promoting economic growth with controlling inflation. If it cuts interest rates too much, inflation may rise; if it raises rates too much, economic growth may slow down.

Australia has introduced a new migration initiative, the Mobility Arrangement for Talented Early-professionals Scheme (MATES), which provides Indian university graduates and early-career professionals with an opportunity to work in Australia for a period of up to two years.

What is MATES Scheme?

• This scheme is part of the broader Migration and Mobility Partnership Arrangement (MMPA) between India and Australia.
  • MMPA is a bilateral framework that supports and promotes two-way migration and mobility between the two countries while addressing issues pertaining to illegal and irregular migration.
• The MATES program is designed to encourage young professionals to enhance their skills, gain international work experience, and contribute to sectors critical to both countries, including renewable energy, mining, engineering, and more.

Key Features of the MATES Scheme

Eligibility Criteria: To apply for the MATES scheme, candidates must meet several specific requirements:

• Age: Applicants must be aged 30 years or younger at the time of application.
• Previous Participation: The scheme is open only to those who have not previously participated in the MATES program.
• Educational Qualification: Applicants must have graduated within two years of the application date from an eligible educational institution. A bachelor’s degree or higher qualification is required, with degrees in the following fields being prioritized:
  • Renewable Energy
  • Mining
  • Engineering
  • Information Communications Technology (ICT)
  • Artificial Intelligence (AI)
  • Financial Technology (FinTech)
  • Agricultural Technology (AgriTech)
• English Language Proficiency: Applicants must demonstrate proficiency in the English language, with a minimum score of 6 in IELTS or an equivalent exam. Additionally, candidates must score at least 5 in each module of the test (speaking, reading, writing, and listening).
• Eligible Universities: Graduates from the top 100 Indian universities, as per the National Institutional Ranking Framework (NIRF) 2024, are eligible to apply.

No Employer Sponsorship Required: Applicants do not need a job offer or sponsorship from an Australian employer to apply.

The Union government reimposed the Armed Forces (Special Powers) Act (AFSPA), in areas under the jurisdiction of six police stations across five Manipur districts, more than a year after it was removed from these places, amid a fresh wave of violence in the state.

What is AFSPA?

• The British passed the Act in its original version in response to the Quit India Movement in 1942. After Independence, then Prime Minister Jawaharlal Nehru chose to retain the Act.
• As per the AFSPA, after a state or portions of it are declared “disturbed” under Section 3, the Centre or the Governor of a state can impose exceptional powers for the armed forces on the state or parts of it.
  • Section 3 of AFSPA defines “disturbed area” as a region where there is “extensive disturbance of the public peace and tranquillity.”
• According to The Disturbed Areas (Special Courts) Act, 1976, once a region is labelled “disturbed”, it must preserve status quo for a minimum of three months.
• AFSPA allows security forces to conduct operations anywhere and arrest anyone without a warrant.
• It gives the military the ability to use force or even open fire after issuing a warning to someone who is found to be breaking the law.
• Army personnel acting under the AFSPA are immune from all actions taken under other laws of the Indian Penal Code, the Criminal Procedure Code and civil suits, unless otherwise sanctioned by the central government.

The Defence Research and Development Organisation (DRDO) has successfully completed the flight tests of the Guided Pinaka Weapon System as part of the Provisional Staff Qualitative Requirements (PSQR) Validation Trials. The successful validation marks a significant step towards the system's induction into service, reinforcing India's efforts to modernize and strengthen its artillery capabilities.

About the Pinaka System

• The Pinaka is a multi-barrel rocket launcher system developed by DRDO’s Armament Research and Development Establishment (ARDE). Initially designed to meet the requirements of the Indian Army, the system has undergone significant upgrades to enhance its range, accuracy, and overall performance.
• Phased Development:
  • Pinaka Mk-I: The basic version with a 38 km range and capable of firing multiple rocket salvoes.
  • Pinaka Mk-II: An upgraded version with an extended range of up to 60 km.
• Extended Range Pinaka: The latest variant, with a range of 75 km, capable of striking targets at longer distances with greater precision.
• The development and testing journey for Pinaka has spanned several years, with the system undergoing rigorous field trials to ensure it meets the operational needs of the Indian Army.

Key Features and Capabilities of the Pinaka System

• Salvo Launch Capability: The Pinaka is capable of launching a salvo of 12 rockets within 44 seconds, covering an area of 700 x 500 meters. This allows the system to deliver a high volume of fire in a short span of time, making it effective against enemy positions and formations.
• Range: The initial version, Pinaka Mk-I, has a range of 38 km. Later versions, including Pinaka Mk-II, extend this range to 60 km, and the Extended Range Pinaka can hit targets at distances of up to 75 km, providing the Indian Army with significant standoff capability.
• Upgraded Performance: The Pinaka system has undergone various upgrades over time, improving its accuracy, reliability, and operational effectiveness. In 2020, for example, the Enhanced Pinaka variant was successfully tested at the Integrated Test Range (ITR) in Chandipur, Odisha, achieving the desired range and performance goals. The Extended Range version was tested in 2021 with 25 successful launches at ranges up to 45 km.
• Guided Munition: The Guided Pinaka system, a key feature of the recent flight tests, introduces guided rockets, offering enhanced precision and accuracy compared to traditional unguided rockets. This development is crucial for targeting specific enemy positions with minimal collateral damage.
• Production and Strategic Partnerships: The development of the Pinaka system has been supported by several Indian industry partners, such as Munitions India Limited and Tata Advanced Systems Limited, ensuring greater domestic production and reducing reliance on foreign weapon systems.
• Potential for Export: The Pinaka system has garnered international attention, with the French Army expressing interest in the system as a potential solution for their own military needs. This aligns with India's broader goals of defence exports, as the system is seen as an essential asset for India’s growing presence in the global defence market.

Delhi and its adjoining areas have been covered under a thick blanket of smog since the morning, causing the air quality index (AQI) to reach the 'Severe' category, with values exceeding 400 in several regions. The Commission for Air Quality Management (CAQM) has termed this early morning dense smog as an "episodic event", adding that the situation is expected to improve soon. However, the alarming levels of pollution have prompted the CAQM to enforce Stage III of the Graded Action Response Plan (GRAP).

What is GRAP III?

• GRAP (Graded Action Response Plan) is a set of measures introduced by the government to combat air pollution in Delhi and its surrounding areas during the winter season. It operates in four stages, depending on the AQI level:
  • Stage I (AQI 201-300) - Poor air quality
  • Stage II (AQI 301-400) - Very Poor air quality
  • Stage III (AQI 401-450) - Severe air quality
  • Stage IV (AQI >450) - Severe Plus air quality
• When the AQI falls in the Severe range (401-450), Stage III measures are activated. These measures aim to reduce pollution levels and minimize exposure to harmful air quality.
• Implementing Agency:The Commission for Air Quality Management (CAQM) in NCR and adjoining areas oversees the implementation of GRAP.
  • It collaborates with the Ministry of Environment, Forest and Climate Change (MoEFCC).

India has reiterated its call for reforming the United Nations Security Council (UNSC) during the UN General Assembly session, emphasizing the need for increased permanent membership and more inclusivity to address current global challenges. The UK has expressed support for India’s bid to become a permanent member, advocating for a UNSC that reflects contemporary geopolitical realities.

Need for Reform in UNSC

• Outdated Framework: The UNSC, established in 1945, has not undergone significant reform since 1965, making it ill-equipped to deal with modern-day global challenges, such as climate change, refugee crises, and human rights violations.
• Geopolitical Representation: India has highlighted the under-representation of Asia, Africa, and Latin America in the UNSC and called for reforms to make the Council more representative and inclusive, reflecting the global power dynamics of the 21st century.
• Global Consensus on Reform: India’s call for reform has garnered international support, with the UK reaffirming its backing for India’s permanent membership in the UNSC to better address the world’s pressing security concerns.

Challenges Facing the UNSC and Global Diplomacy

• Polarization of UNSC: The UNSC remains sharply divided on major global conflicts, such as the Ukraine war and the Israel-Hamas conflict, demonstrating its inefficiency in handling contemporary peace and security challenges.
• Urgency of Reform: The lack of reform has led to a public perception that the UN is still trapped in Cold War-era paralysis, which hampers its ability to act decisively in the face of emerging global crises.
• India’s Role and Case for Membership: As the world’s largest democracy and one of the fastest-growing economies, India presents a strong case for permanent membership in the UNSC, based on its growing geopolitical influence and commitment to the UN Charter.

Practice Question

Q. Discuss the challenges and need for reform in the United Nations Security Council. How does India’s bid for permanent membership align with the changing geopolitical realities of the 21st century?

The Supreme Court of India has issued guidelines to regulate the practice of demolishing properties as a punitive measure against alleged offenders, aiming to prevent such demolitions without following due process. This development follows a spate of demolitions in communal tensions, particularly in Madhya Pradesh and Delhi, where properties of those accused of crimes were demolished. The Court’s intervention seeks to ensure that the rule of law is upheld and the constitutional right to shelter is protected.

Supreme Court Guidelines to Prevent Arbitrary Demolitions

• Rule of Law & Separation of Powers: The Supreme Court highlighted that demolishing properties as a punitive measure violates the rule of law and undermines the separation of powers by allowing the executive to exercise a penal function.
• Due Process for Demolition: The Court mandated a 15-day notice period, to be served by registered post, specifying the alleged violations, with a personal hearing and a reasoned order, making demolitions legally transparent.
• Accountability & Transparency: The Court ordered that details of notices, replies, and orders be uploaded on a digital portal within three months. It also made officials accountable for backdating notices to ensure transparency and prevent misuse of power.

Exceptions and Implementation of the Guidelines

• Exemptions from Process: The guidelines exempt demolitions related to encroachments on water bodies, railways, and public spaces, recognizing the need for such actions for public welfare.
• Role of Local Authorities: Local authorities have been tasked with ensuring compliance with the guidelines, leaving minimal room for politically motivated or communally biased demolitions.
• Ensuring Fairness and Justice: The Court's verdict ensures that demolitions are not used as tools for collective punishment, protecting the constitutional right to shelter, particularly for families of accused persons.

Practice Question

Q. Critically examine the recent Supreme Court ruling on demolitions of properties as a punitive measure. How does it safeguard the principles of the rule of law and the right to shelter?

At CoP 29 in Baku, countries reached a consensus on the methodologies for carbon markets outlined in Article 6 of the Paris Pact, which facilitates emissions trading between polluting entities and less-polluting entities. This agreement aims to address transparency issues and streamline operations in carbon markets, which have been contentious since the Paris Agreement was signed nearly a decade ago.

Key Provisions of the Agreement

• Carbon Market Methodologies: Countries have agreed on standardized methodologies for carbon credit projects, clarifying operational processes in emissions trading. This is a key development after previous breakdowns in negotiations over what constitutes a valid carbon removal credit.
• Cost Reduction for Climate Goals: Azerbaijan, the host country of CoP 29, emphasized that carbon markets could reduce the cost of implementing Nationally Determined Contributions (NDCs) by USD 250 billion annually, highlighting the potential economic benefit of carbon trading.
• Transparency & Streamlining: The agreement aims to improve the transparency of carbon markets, ensuring more reliable emissions trading, which is vital for tracking progress toward global climate goals.

Criticism & Challenges in Implementation

• Issues of Double Accounting & Reversal Risks: Critics argue that the agreement does not adequately address double accounting, where the same carbon credit is counted multiple times, and does not provide solutions for projects at risk of reversals, such as carbon stored in natural sinks that might be released back into the atmosphere.
• Lack of Safeguards for Displaced Communities: The agreement does not address the social impacts of carbon offset projects, such as the displacement of communities in regions where "green" projects like reforestation are implemented, raising concerns over environmental justice.
• Past Failures & Reputational Risks: Given the failure of previous mechanisms like the Clean Development Mechanism under the Kyoto Protocol, experts warn that if carbon markets are not carefully managed, they could undermine global trust and progress in decarbonization.

Practice Question

Q. Critically analyze the challenges and potential benefits of implementing carbon markets under the Paris Pact, particularly in the context of the recent agreement at CoP 29.