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Banking Sector Reforms

Explained: Silicon Valley Bank (SVB) Crisis

Note4Students

From UPSC perspective, the following things are important :

Prelims level: SVB Crisis

Mains level: Global financial crisis

silicon valley

Central idea: The shutdown and takeover of Silicon Valley Bank (SVB) by US regulators has raised questions on how it impacts India’s startup industry. It was an important partner for the global startup economy.

Silicon Valley Bank (SVB)

  • It is a financial institution that provides banking services to the technology industry and venture capital firms.
  • Founded in 1983, it has since become the go-to bank for startups and entrepreneurs in Silicon Valley and beyond.
  • It is unique in that it understands the specific needs and challenges of the tech industry, and provides a range of services that cater to startups, including loans, deposits, and investment management.
  • It has become a critical player in the startup ecosystem, providing funding and financial services to many of the world’s most successful startups, including Tesla, Uber, and LinkedIn.

What is SVB crisis?

  • SVB Financial Group runs one of the largest American commercial banks – Silicon Valley Bank.
  • Last week, it had announced a $1.75 billion share sale programme to further strengthen its balance sheet.
  • This programme triggered a massive sell-off in the group’s shares.
  • Thereafter, market went severely bearish and bear rampage wiped out over $80 billion of its market value.
  • Alongside, the bond prices of the group collapsed and created a panic in the market.

Reasons for SVB’s downfall

  • Downturn of tech stocks: The bank was hit hard by the downturn in technology stocks over the past year as well as the Federal Reserve’s aggressive plan to increase interest rates to combat inflation.
  • Lower bond yield due to lower interest rates: SVB bought billions of dollars’ worth of bonds over the past couple of years, using customers’ deposits as a typical bank would normally operate.
  • Mostly startups account holders: SVB’s customers were largely startups and other tech-centric companies that started becoming needier for cash over the past year.
  • Drying VC funding: Venture capital funding was drying up, companies were not able to get additional rounds of funding for unprofitable businesses.
  • Fear over deposit insurance: Since its customers were largely businesses and the wealthy, they likely were more fearful of a bank failure since their deposits were over $250,000, which is the government-imposed limit on deposit insurance.

Immediate effects of SVB’s failure

  • Startups scramble: Many startups and other companies that relied on the bank’s services were suddenly left without access to their funds, which caused financial strain and uncertainty for these businesses.
  • Ripple effect: They now fear that they might have to pause projects or lay off or furlough employees until they could access their funds.

Major implications for SVB

There are two large problems remaining with Silicon Valley Bank-

  • Huge uninsured deposits: The vast majority of these were uninsured due to it’s largely startup and wealthy customer base.
  • No scope for asset reconstruction: There is no potential buyer of Silicon Valley Bank.

Could this lead to a repeat of what happened in 2008?

  • No probability: At the moment, experts do not expect any issues to spread to the broader banking sector.
  • Diversified customer bases: Other banks are far more diversified across multiple industries, customer bases and geographies.

Impact on Indian startups

  • Uncertainty over deposits: The failure of SVB is likely to have a ripple effect on Indian startups, many of which have significant amounts of funds deposited with the bank.
  • Hamper the funding: SVB has been a major player in the Indian startup ecosystem, providing banking services and funding to many of the country’s most successful startups, including Flipkart, Ola, and Zomato.
  • Ripple effect: This could lead to a cash crunch for many companies, which may be forced to cut costs, delay projects, or lay off employees.
  • Reduce global footprints: SVB has also been instrumental in helping Indian startups expand into the US market, by providing them with the necessary infrastructure and support to set up operations in Silicon Valley.

How can Indian startups mitigate the impact of SVB’s failure?

  • Diversify banking relations: Indian startups that have funds deposited with SVB may want to consider diversifying their banking relationships to reduce their exposure to any one bank.
  • Alternative financing: This may involve opening accounts with multiple banks, or exploring alternative banking services such as digital banks or fintech startups.

Back2Basics: 2008 Financial Crisis

  • The bankruptcy of Lehman Brothers was a key event in the 2008 financial crisis.
  • Lehman Brothers was one of the largest investment banks in the world, with assets of around $600 billion.
  • However, the firm had invested heavily in the US housing market, and when the housing market began to decline in 2007, Lehman’s investments began to lose value.
  • In addition, the firm had taken on a large amount of debt to finance its investments and operations.
  • As the value of Lehman’s assets declined and its debt levels increased, the firm became insolvent and was unable to meet its obligations to creditors.
  • In September 2008, Lehman Brothers filed for bankruptcy, triggering a financial panic and market turmoil.

Its impact

  • The Lehman crisis had far-reaching consequences, including the collapse of other financial institutions, a global recession, and widespread economic and social hardship.
  • The crisis highlighted the risks of excessive leverage and the interconnectedness of financial institutions, and led to significant reforms in financial regulation and risk management practices.

 


 

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LGBT Rights – Transgender Bill, Sec. 377, etc.

Same-Sex Marriages can rock societal values: Centre

Note4Students

From UPSC perspective, the following things are important :

Prelims level: NA

Mains level: Same Sex Marriage

marriage

Central idea: The Centre in the Supreme Court expressed its disagreement towards same-sex marriage, citing traditional beliefs and values.

Here are the main points of the affidavit:

  • Heterosexual marriage has been the norm throughout history and is “foundational to both the existence and continuance of the state.”
  • Marriage in India is regarded as a “holy union,” a “sacrament,” and a “sanskar,” and is dependent on customs, rituals, practices, cultural ethos, and societal values.
  • Any “deviation” from the “statutorily, religiously and socially” accepted norm in “human relationship” can only happen through the legislature and not the Supreme Court.

Basis of Centre’s opposition

  • The 2018 Navtej Singh Johar judgment decriminalised homosexuality, but it did not mention/legitimise same-sex marriage.
  • Same-sex marriage cannot be compared to a man and woman living as a family with children born out of the union.
  • Registration of same-sex marriage would result in a violation of existing personal as well as codified law provisions.
  • There is a “compelling interest” for the society and the state to limit recognition to heterosexual marriages only.

Reasons behind centre’s opposition

  • Legal revamp required: The registration of marriage of same-sex persons also results in a violation of existing personal as well as codified law provisions — such as ‘degrees of prohibited relationship’; ‘conditions of marriage’; ‘ceremonial and ritual requirements’ under the personal laws governing the individuals”.
  • Definition of spouse: In a same-sex marriage, it is neither possible nor feasible to term one as ‘husband’ and the other as ‘wife’ in the context of the legislative scheme of various personal laws.
  • Against cultural norms:  The social order in our Country is religion based which views procreation as an obligation for the execution of various religious ceremonies.
  • Property and other civil rights: Property rights post marriage is a much-contested issues in India. Same sex marriage will not create any immunity for the law but increase complex interpretations.

Issues with such marriages

The issue of homosexual conduct to this fore in recent legal and political debate for main reasons, which are as follows:

  • Morality: This has brought with it a change in social attitudes, so that the stigma attached to homosexuality has to a greater extent disappeared.
  • Rising activism: Campaigns for lesbian and gay rights taken on an increasingly radical character, arguing for an end to all forms of discrimination against homosexuality.
  • Religious sanctions: Same sex acts are punishable by death in Arab countries. No religion openly embraces same sex marriage. More or less, they are considered un-natural everywhere.
  • Social stigma:  Apart from the harsh legal scenario, homosexuals face social stigma as well. Same sex marriages are still unimaginable as any instance of sexual relations between a couple of the same sex draws hatred and disgust.
  • Patriarchy: It must not be forgotten that the Indian society is patriarchal in nature and the fact that certain women and men have different choices, which is not sanctioned by the ‘order’, frightens them in a way.
  • Burden of collectivity: Our society is very community oriented and individualism is not encouraged in the least, any expression of homosexuality is seen as an attempt to renounce tradition and promote individualism.

Arguments in favor

  • Pursuit of happiness: Homosexuality is not an offence, it is just a way of pursuit of happiness, a way to achieve sexual happiness or desire.
  • Right to privacy: The fundamental right to liberty (under Article-21) prohibits the state from interfering with the private personal activities of the individual.
  • Arbitrariness: Infringement of, the right to equal protection before law requires the determination of whether there is a rational and objective basis to the classification introduced.
  • Issues with definition: Section-377 assumes that natural sexual act is that which is performed for procreation. Hence, it thereby labels all forms of non-procreative sexual act as unnatural.
  • Discrimination: Section-377 discriminates on the basis of sexual orientation which is forbidden under Article-15 of the Constitution. Article-15 prohibits discrimination on several grounds, which includes Sex.
  • Human rights: The universal law of Human Rights states that social norms, tradition, custom or culture cannot be used to curb a person from asserting his fundamental and constitutional rights.
  • Many countries recognizing: According to global think tank Council of Foreign Relations, same sex marriages are legal in at least 30 countries, including the United States, Australia, Canada and France.

Way forward

  • Dissociating from religion: Such marriages are forbidden in almost every religion. Hence no single religion should be considered a hindrance in creating a legal sanction.
  • Doing away with discrimination: The same-sex community needs an anti-discrimination law that empowers them to build productive lives and relationships irrespective of gender identity.
  • Letting the society evolve: The society has to imbibe the doctrine of progressive realization of rights and it cannot be forcibly convinced by law.
  • Creating awareness: Certainly this is not an overnight phenomenon. We are society where practice of Sati and Nikah halala was considered a religious order.

 

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Rural Distress, Farmer Suicides, Drought Measures

Rural-Urban Dichotomy And The Continuum

Note4Students

From UPSC perspective, the following things are important :

Prelims level: NA

Mains level: Rural-Urban Continuum

Rural-Urban

Central Idea

  • The traditional dichotomy of rural and urban, and the accordingly mandated governance structure, seems inadequate to understand and act upon poverty, undernourishment, education, health, environmental management or even development. There is a need to adopt the notion of urban catchment areas delineated along an urban-rural continuum to understand urban-rural interconnections and address issues related to environment and natural resources management.

What is Rural-Urban Dichotomy?

  • Distinct Division: It is the perception of a clear and distinct division between rural and urban areas, which are seen as two distinct and separate entities.
  • Significant Differences: This dichotomy is based on the assumption that there are significant differences between rural and urban areas in terms of social, economic, and cultural characteristics.
  • Traditional vs modern values: It suggests that rural areas are primarily agricultural, less developed, and have traditional social and cultural values, while urban areas are more developed, industrialized, and have modern values.

Rural-Urban

The Rural-Urban Continuum

  • The Rural-Urban Continuum is an alternative perspective that acknowledges the existence of intermediate areas that blur the distinction between rural and urban.
  • An intermediate settlement formation exists between the two extremes where rural and urban functions coexist without distinguishable boundaries.
  • Such formations evolve due to interactions of a complex set of geographical, cultural, economic, and historical processes.
  • The transition from rural to urban follows a graded curve of development, and opportunities for social and economic development depend on one’s location along this curve.

Importance of the Rural-Urban Continuum

  • Identification of urban catchment areas delineated along an urban-rural continuum would help understand urban-rural interconnections, which is important for making policy decisions across development sectors and for addressing issues related to environment and natural resources management.

Studies and examples of Rural-Urban Continuum

  • The Desakota Study report:
  • A 2008 report of the Desakota Study Team, Re-imagining the Rural Urban Continuum, was based on studies in eight countries around the world including India.
  • Team’s report in 2008 emphasized understanding the changing relationship between ecosystems and livelihoods under diversified economic systems across the rural-urban continuum as it has important policy implications at all levels.
  • In India, Kerala for instance:
  • Kerala is well known for the rural-urban continuum in the coastal plain. This was noted even by Moroccan traveller Ibn Batuta in the 14th century. The trend further spread over the lowlands and adjoining midlands and highlands.
  • Geographical factors supported by affirmative public policy promoting distributive justice and decentralisation have increased rural-urban linkages and reduced rural-urban differences in major parts of Kerala.
  • The urban industrial interaction in India is spreading rapidly: The urban industrial interaction fields in India are spreading by linking rural areas and also small towns around the mega cities and urban corridors penetrating rural hinterlands.

Rural-Urban

Dissolving the boundaries and barriers

  • Technology and globalization led connectivity: Technology and economic globalization have increased mobility of resources and people and enhanced inter- and intra-country connectivity, promoting the rural-urban continuum.
  • Physical distance barriers are melting: The barriers due to physical distance are melting as increasing rural-urban linkages have given rise to diffused network regions.
  • Movement of goods, people and information is rising: Rural hinterlands are connected to multiple urban centers, and the movement of goods, people, information, and finance between sites of production and consumption has strengthened linkages between production and labour markets.

Changing Ecosystems of the Rural-Urban Continuum

  • Land Use Changes: Agriculturally productive lands are being given for other uses, food security zones are being reconfigured, and areas for pollutant filtering are declining.
  • Impacts on Ecosystem Services and Local Livelihoods: There is an increase in waste dump, enhanced disaster risk, and elevated vulnerability, reducing the access of local people to water, food, fuel, fodder, and fiber from ecosystems.
  • Emergence of Intermediary Market Institutions: At the same time, intermediary market institutions are emerging to provide these goods, which has significant implications for the local people.
  • Escalating Market Value of Land and Marginalization: There is also escalation of market value of land, which further marginalizes them.

Way ahead

  • Acknowledge the rural-urban continuum in discussions on social and economic development and environmental issues.
  • Identify challenges and opportunities for improving both urban and rural governance and enhancing access to employment, services, institutional resources, and environmental management.
  • Build rural-urban partnership by taking a systems approach, where the city and surroundings form a city region for which a perspective plan is prepared integrating rural and urban plans within a common frame.
  • Move towards a post-urban world where the rural-urban dichotomy will no longer exist.
  • Better map rural-urban linkages by using satellite-based settlement data and integrating it with Census data.

Conclusion

  • Recognizing and addressing the interconnections between rural and urban areas along a continuum is crucial for effective policy-making and environmental management in India.

Mains Question

Q. The rural-urban continuum has drawn wide attention in recent years. In this light discuss the importance of Recognizing and addressing the interconnections between rural and urban areas.


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Russian Invasion of Ukraine: Global Implications

Ukraine Conflict: Implications And The Danger Of Provoking A World War

Note4Students

From UPSC perspective, the following things are important :

Prelims level: NA

Mains level: Russia- Ukraine War and Implications

Ukraine

Central Idea

  • The Ukraine conflict has significant implications for Europe and the world. It has demonstrated that the US is the true defender of Europe and highlighted the fragile state of Europe’s defence industry. The conflict has also given the US confidence to take on all challengers, leading to new ambitions in Western minds. While the conflict has taught several important lessons, the wrong lessons could also be derived, which could prove to be dangerous in the long run.

What is the Present Situation?

  • While acknowledging the bravery of the Ukrainian people, significant efforts are underway in Europe, including France, Germany, and the United Kingdom, to end the ongoing war.
  • Given that neither side is poised for a decisive victory, it is highly unlikely that Russia will withdraw from the territories it initially occupied.
  • The initial enthusiasm has given way to a sense of exhaustion, and the conflict in Ukraine is increasingly being viewed as a US-backed NATO proxy war against Russia.
  • As a result, European leaders are currently focused on negotiating a ceasefire and ending the conflict rather than prolonging it.

Implications of the war on Europe

  • Europe’s struggling economy: Despite receiving state-of-the-art weapons from the US, Europe remains at the mercy of NATO and the US due to its fragile defence industry. The prospect of a prolonged war without end is daunting for Europe’s struggling economy.
  • US as the True Defender of Europe: The Ukraine conflict has demonstrated that the US is the true defender of Europe, with the people believing that without the US, Europe would not have come together to support Ukraine.
  • US Confidence and New Ambitions: The US’s success in Europe has fuelled new ambitions and the belief that momentum now lies with them. This could potentially lead to dangerous experimentation, with Ukraine and the war in Europe not being a laboratory for similar experiments elsewhere.
  • The Danger of Overconfidence and Misadventures: US triumphalism could lead to misadventures, as Ukraine and Europe cannot be a bellwether for what might happen in a conflict with China in the Indo-Pacific. China is not Ukraine or Russia, and Asia is not Europe.

China’s strong Posture

  • China’s Direct and Harsh Language Against the US and Western Countries: China is accusing the US and other Western countries of engaging in the containment, encirclement, and suppression of China. China have openly accused the US of attempting to encircle China through its Indo-Pacific strategy, which they say is an Asia-Pacific version of NATO. China’s language is unusually direct and harsh, leading to concerns that China may be preparing for a direct confrontation with the US.
  • China’s Preparation for All Eventualities: China is preparing for all possible scenarios in response to the current situation. It has warned that no amount of guardrails can prevent derailment if the US continues to speed down the wrong path. China’s efforts are aimed at thwarting US attempts to restore its dominant position in world affairs.
  • Taiwan as the Flashpoint
  • Taiwan remains a flashpoint in the Indo-Pacific region, with tensions further aggravated by the recent visits of top US military leaders to Taiwan. However, newer tensions are also adding to the possibilities of a conflict in other regions in the Indo-Pacific.

The danger of provoking a world war

  • Starting with a misreading or misunderstanding of the other side’s intentions, all wars can begin.
  • The success of the US in assisting Ukraine to withstand the Russian offensive and undercutting Russia’s image of being a superpower in Europe.
  • The success in Europe and the goal of returning to the post-1945 era may be the impetus for targeting China. This could lead to a direct confrontation with China and have disastrous consequences, possibly leading to a world war.

Conclusion

  • The US is basking in the glow of its successful intervention in Europe and this could provoke retaliation, leading to the escalation of hostilities in other regions and potentially paving the way for another global conflict. Such an outcome would be a catastrophe of monumental proportions.

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Human Rights Issues

Decriminalization of Adultery and the Duty and Discipline

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Article 33

Mains level: Decriminalization of Adultery

Adultery

Central Idea

  • The Supreme Court of India decriminalized adultery in 2018, but the Union of India sought clarification from the Court concerning its implementation in the armed forces. The court’s observations suggest that the armed forces may still discipline for adulterous acts under their special legislations. However, recent court cases show that an act must have some nexus with the discharge of duties to be considered misconduct, and private affairs cannot be subjected to moral policing under the Service Conduct Rules or Article 33 of the Constitution.

What is mean by Adultery?

  • Adultery is a term used to describe a consensual sexual relationship between a married person and someone who is not their spouse.
  • It is generally considered to be a breach of marital fidelity and can have legal, social, and religious consequences.
  • In some societies and cultures, adultery is considered a crime or a sin, while in others it may not be explicitly prohibited but is still frowned upon or considered morally wrong.

Adultery In the Indian context

  • Joseph Shine v. Union of India: Adultery was a criminal offense under Section 497 of the Indian Penal Code (IPC) until September 2018, when the Supreme Court of India decriminalized it in a landmark judgment in Joseph Shine v. Union of India.
  • Law applied to men only: Before the judgment, adultery was punishable by up to five years of imprisonment or a fine or both, and the law only applied to men who had sexual relations with someone’s wife without the husband’s consent.
  • Law did not consider women as an offender: The law did not consider a woman who had an affair with a married man as an offender or the husband as a victim.

What is Article 33?

  • Fundamental rights of armed forces personnel can be curtailed by law for discipline: It empowers the Parliament to restrict or modify the fundamental rights of armed forces personnel, including members of the Army, Navy, and Air Force, to ensure the proper discharge of their duties and the maintenance of discipline among them. This means that the fundamental rights of armed forces personnel can be curtailed or modified by law to the extent that it does not hinder their duties or impact discipline.
  • Laws may be different from the general laws: The article gives special powers to Parliament to make laws that may not necessarily be in line with the fundamental rights guaranteed to Indian citizens under the Constitution. These laws may be different from the general laws applicable to Indian citizens, and their enforcement may be specific to the armed forces personnel.
  • Application: The article applies not only to the armed forces personnel but also to members of the police force and intelligence agencies involved in maintaining public order. However, the restrictions imposed on these personnel should be in line with the principles of the Constitution and not infringe on their right to privacy or other fundamental rights.

Decriminalization of Adultery

  • Civil wrong: In 2018, The Joseph Shine judgment removed the criminalization of adultery and declared it a civil wrong that can be a ground for divorce.
  • State should not interfere in matters of personal relationship: The judgment recognized that the right to choose one’s partner and engage in consensual sexual relations is a fundamental right and that the state should not interfere in matters of personal relationships between consenting adults.
  • Violation of fundamental Rights: The provisions were found to be violative of Articles 14, 15, and 21 of the Constitution of India.

Recent Court Cases

  • Rajasthan High Court: In Mahesh Chand Sharma versus State of Rajasthan and Others (2019).
  • The court set aside departmental proceedings against a police inspector who allegedly had illicit relations with a woman constable and had a child from illicit relations.
  • The court held that no employer could do moral policing on its employees beyond the domain of their public life.
  • Gujarat High Court: In Maheshbhai Bhurjibhai Damor versus State of Gujarat and 3 other(s) (2022).
  • The court quashed and set aside the dismissal order of an armed police constable arising from allegations that he had developed illicit relations with a widow.
  • The court held that allegations of misconduct must have some nexus with the duties to be performed by the government servant.
  • Private affairs cannot be subjected to moral policing under the Service Conduct Rules or Article 33 of the Constitution.

Government’s argument

  • Sought clarification: The Union of India sought clarification from the Court on implementing the decriminalization of adultery in the armed forces.
  • Special legislations must govern: The Union of India argued that special legislations, such as the Army Act, Air Force Act, and Navy Act, should govern promiscuous or adulterous acts among members of the armed forces.

Conclusion

  • The recent court cases show that the decriminalization of adultery does not inhibit the parameters of departmental proceedings or enlarge them. Private affairs cannot be subjected to moral policing under the Service Conduct Rules or Article 33 of the Constitution unless it has some nexus with their duties. The sacrosanct right to privacy available to the members of the armed forces cannot be taken away unless it interferes with the discharge of duties.

Mains Question

Q. What is mean by Adultery? The Supreme Court of India decriminalized adultery in 2018. Discuss the reasons for doing so?


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Indian Ocean Power Competition

Australia’s AUKUS Dilemma: Options and Challenges

Note4Students

From UPSC perspective, the following things are important :

Prelims level: NA

Mains level: AUKUS, significance and challenges

AUKUS

Central Idea

  • The AUKUS security partnership between the United States, Australia, and the United Kingdom has important implications for Australia’s plans to operate a fleet of nuclear-powered submarines, with potential drawbacks.

What is AUKUS?

  • Trilateral Partnership: AUKUS is a trilateral security partnership between Australia, the United Kingdom, and the United States, announced on September 15, 2021. The partnership involves cooperation in various areas, including defence and security, technology, and climate change.
  • Indo-Pacific region a primary focus: The AUKUS partnership is primarily focused on the Indo-Pacific region and aims to counter China’s growing influence in the region. As part of the partnership, Australia will acquire nuclear-powered submarines from the United States and the United Kingdom, which is seen as a significant shift in Australia’s defence posture.
  • Promote Peace and stability: The three countries have emphasized that the partnership is not aimed at any specific country and is intended to promote peace and stability in the Indo-Pacific region.

AUKUS

Australia’s AUKUS Dilemma

  • AUKUS Pathway Impact: Announcement about optimal pathway for AUKUS has implications for Australia’s plans to operate a fleet of nuclear-powered submarines
  • Opposition from Regional Partners: Regional partners oppose Royal Australian Navy operating nuclear attack submarines, posing a challenge for Australia’s deterrence capabilities against potential adversaries

What are the Options for Australia’s Nuclear Submarines?

  • Following AUKUS consultations, three main options have emerged,
  1. US builds nuclear-powered attack submarines for Australia
  2. UK expands Astute-class program to Australia
  3. Trilateral effort to develop a new nuclear submarine design

AUKUS

What are the Challenges and Complexities for Australia’s Nuclear Submarines

  • US uncertain on Australis’s nuclear subs: US Policymakers are sceptical about building nuclear-powered attack submarines for Australia due to national security concerns
  • UK’s Dreadnought hinders Australia’s submarine expansion: UK’s construction of Dreadnought-class ballistic-missile submarine program and differences between Australian and American fleets pose a challenge for expanding Astute-class program to Australia
  • Nuclear design challenges: Trilateral effort to develop a new nuclear submarine design faces challenges related to U.S. export controls and technology transfer agreement
  • Nuclear tech complex and risky globally: The nuclear technology is complicated under the international system and poses potential proliferation risks.

AUKUS

The AUKUS Partnership: Implications for India

  • Increased security cooperation: The partnership between Australia, the United Kingdom, and the United States is likely to lead to increased security cooperation in the Indo-Pacific region. This could help to balance out China’s growing military and economic power in the region and could create opportunities for India to work more closely with these countries on shared security concerns.
  • Potential for technological collaboration: AUKUS includes cooperation in technology and could lead to opportunities for India to collaborate with the three countries in areas such as artificial intelligence, quantum computing, and cybersecurity. This could help to bolster India’s technological capabilities and could lead to new opportunities for trade and investment.
  • Impact on regional dynamics: The announcement of AUKUS could have a significant impact on regional dynamics in the Indo-Pacific, particularly in terms of how other countries in the region respond. India will need to carefully navigate these dynamics and ensure that its own interests are protected.

Conclusion

  • The AUKUS security partnership has significant implications for Australia’s defence capabilities and strategic positioning in maritime Asia. However, it poses significant challenges and risks. Even with its closest allies, the U.S. faces difficulties transferring technology, highlighting the challenges for India and other countries in acquiring critical technology from the U.S. The AUKUS developments may have broader implications for regional security and nuclear technology.

Mains Question

Q. Evaluate the broader implications of the AUKUS developments for regional security and nuclear technology.


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Disasters and Disaster Management – Sendai Framework, Floods, Cyclones, etc.

States demand that ‘Lightning’ be declared a Natural Disaster

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Lightening

Mains level: Not Much

Central idea: A few states have requested lightning to be declared a natural disaster due to the high number of deaths caused by it in the country.

Why discuss this?

  • Around 2,500 people die every year due to lightning.
  • Present norms consider cyclones, droughts, earthquakes, fires, floods, tsunamis, hailstorms, landslides, avalanches, cloudbursts, pest attacks, frost, and cold waves as disasters covered under the State Disaster Response Fund.
  • Deliberations are necessary as it is a policy issue.

What is lightning?

  • Scientifically, lightning is a rapid and massive discharge of electricity in the atmosphere some of which is directed towards earth.
  • The discharges are generated in giant moisture-bearing clouds that are 10-12 km tall.
  • The base of these clouds typically lie within 1-2 km of the Earth’s surface, while the top is 12-13 km away.
  • Temperatures in the top of these clouds are in the range of –35° to –45°C.

Its formation

  • As water vapour moves upward in the cloud, the falling temperature causes it to condense.
  • As they move to temperatures below 0°C, the water droplets change into small ice crystals.
  • They continue to move up, gathering mass until they are so heavy that they start to fall to Earth.
  • This leads to a system in which, simultaneously, smaller ice crystals are moving up and bigger crystals are coming down.
  • Collisions follow and trigger the release of electrons, a process that is very similar to the generation of sparks of electricity.
  • As the moving free electrons cause more collisions and more electrons, a chain reaction ensues.
  • This process results in a situation in which the top layer of the cloud gets positively charged, while the middle layer is negatively charged.
  • The electrical potential difference between the two layers is huge, of the order of a billion to 10 billion volts.
  • In very little time, a massive current, of the order of 100,000 to a million amperes, starts to flow between the layers.

Types of lightning

  • Broadly, there are three forms of lightning:
  1. Inter-cloud
  2. Intra-cloud
  3. Cloud-to-ground
  • It is the cloud-to-ground form of lightning that kills humans, as well as animals and livestock, and can substantially damage property.
  • While the Earth is a good conductor of electricity, it is electrically neutral.
  • However, in comparison to the middle layer of the cloud, it becomes positively charged.
  • As a result, about 15%-20% of the current gets directed towards the Earth as well.
  • It is this flow of current that results in damage to life and property on Earth.

How intensely does it strike?

  • A typical lightning flash is about 300 million volts and30,000 amps.
  • To put it in perspective, household current is 120 volts and 15 amps.
  • A flash of lightning is enough to light a 100-watt incandescent bulb for about three months.

Why does lightning kill so many people in India?

  • The reason for the high number of deaths is due to people being caught unawares and more than 70% of fatalities happened due to people standing under isolated tall trees.
  • About 25 per cent of the people were struck in the open.
  • Also, lightning is the direct promulgation of climate change extremities.

Mitigating lightning incidents

  • Lightning is not classified as a natural disaster in India.
  • But recent efforts have resulted in the setting up of an early warning system that is already saving many lives.
  • More than 96% of lightning deaths happen in rural areas.
  • As such, most of the mitigation and public awareness programmes need to focus on these communities.
  • Lightning protection devices are fairly unsophisticated and low-cost. Yet, their deployment in the rural areas, as of now, is extremely low.
  • States are being encouraged to prepare and implement lightning action plans, on the lines of heat action plans.
  • An international centre for excellence on lightning research to boost detection and early warning systems is also in the process of being set up.

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WTO and India

Bhutan no longer a ‘Least Developed Country’

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Least Development Countries

Mains level: NA

bhutan

Central idea: Bhutan will become the seventh country to graduate from the United Nations’ list of Least Developed Countries (LDC) on December 13, 2023.

What is a Least Developed Country (LDC)?

  • The LDCs are developing countries listed by the UN that exhibit the lowest indicators of socioeconomic development.
  • The concept first originated in the late 1960s and was codified under UN resolution 2768 passed in November 1971.
  • According to the UN, an LDC is defined as “a country that exhibits the lowest indicators of socioeconomic development, with-
  1. Low levels of income, human capital and economic diversification,
  2. High levels of economic vulnerability, and
  3. A population that is disproportionately reliant on agriculture, natural resources, and primary commodities.

Criteria for LDCs

  • The UN identifies three criteria for a country to be classified as an LDC:
  1. It must have a gross national income (GNI) per capita below the threshold of USD 1,230 over a three-year average.
  2. It must perform poorly on a composite human assets index based on indicators including nutrition, health and education.
  3. It must demonstrate economic vulnerability such as being prone to natural disasters and possessing structural economic constraints.
  • Countries must meet a selection from all three criteria simultaneously and are reviewed on a three-year basis by the UN.

How many countries are LDCs?

  • Currently, the UN lists 46 countries that qualify as LDCs.
  • Of those, 33 are from Africa, nine from Asia, three from the Pacific and one from the Caribbean.
  • At the UN 2021 triennial review of LDC countries, the organisation recommended that Bangladesh, Laos, and Nepal be removed from the list.

How does a country get off the LDC list?

  • To graduate from the LDC list, a country must meet certain criteria in the three areas stated before namely, income, human assets, and economic vulnerability.
  • A nation must have a GNI per capita of at least USD 1,242 for two consecutive triennial reviews in order to meet the income requirement.
  • The nation must also show that this level of income can be sustained over the long term.
  • A nation also must show that it has improved its ability to withstand external economic shocks like natural catastrophes or shifts in commodity prices in order to pass the economic vulnerability test.

How did Bhutan get off the LDC list?

  • Bhutan was included in the first group of LDCs in 1971. It fulfilled the requirements for graduation in 2015 and 2018.
  • Bhutan’s economy grew more than eight times in the last 20 years, from under USD 300 million in 2000 to USD 2.53 billion in 2017.
  • The percentage of people living in poverty decreased from 17.8 per cent in 2003 to 1.5 per cent in 2017.
  • The percentage of people living below the national poverty line decreased from 23.2 per cent in 2007 to 8.2 per cent in 2017.

What economic measures did it take?

  • Hydropower exports: Bhutan increased exports of hydropower to India, which now accounts for 20 per cent of its economy.
  • Brand Bhutan: Bhutan established Brand Bhutan to diversify exports and target high-end markets with specialised exports of high-value, low-volume Bhutanese goods from sectors including textiles, tourism, handicrafts, culture, and natural resources.
  • Tourism promotion: It emerged out to be an all-season tourist destination in South Asia.

Advantages of being an LDC

  • LDCs enjoy duty-free and quota-free (DFQF) access to the markets of developed countries.
  • LDCs are also eligible for loans with special terms for development, which include loans with a lower interest rate and a longer repayment time than those given to other nations.
  • The term “Official Development Assistance” (ODA) or “aid” is frequently used to describe this form of support.

Way forward for Bhutan

  • As such, advancing out of the list is often only the first step in overall development.
  • Graduation from LDC status is not the end of the road, but the beginning of a new journey.
  • It is a time when a country needs to redouble its efforts to build its productive capacities, diversify its economy, and create new opportunities for employment and income generation.

Back2Basics: Defining a country’s ‘Development’

  • There are no WTO definitions of “developed” or “developing” countries.
  • Developing countries in the WTO are designated on the basis of self-selection although this is not necessarily automatically accepted in all WTO bodies.
  • The WTO however recognizes as least-developed countries (LDCs) those countries which have been designated as such by the United Nations.

 

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Mother and Child Health – Immunization Program, BPBB, PMJSY, PMMSY, etc.

Bengal is tackling fatal Adenovirus Infection

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Adenovirus

Mains level: NA

adenovirus

Central idea: 19 children below the age of five years have died in State-run institutions due to acute respiratory infection (ARI) caused by Adenovirus.

What is Adenovirus Infection?

  • Adenoviruses are common viruses that typically cause mild cold or flu-like illness and are usually spread from an infected person to others by close personal contact
  • The virus is transmitted through the air by coughing and sneezing and also by touching an object or surface with adenoviruses on it
  • While the virus can affect people of any age group, children with low and compromised immunity are at a higher risk
  • Symptoms of the viral infection, other than common cold or flu-like symptoms, include acute bronchitis, pneumonia, pink eye (conjunctivitis), and acute gastroenteritis

Reasons for outbreak in Bengal

  • Doctors claim that it is the recombinant strain which is the reason for the spike in infections and deaths.
  • Most of the children who have been infected by the virus are less than three years old and were born during the COVID-19 pandemic.
  • Children who are in the age group of six months to preschool are most susceptible to viral infection.

 


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Mother and Child Health – Immunization Program, BPBB, PMJSY, PMMSY, etc.

Sickle Cell Anaemia screening meets only 1% of target

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Sicke Cell Anaemia

Mains level: Read the attached story

anaemia

Central idea:  The Health Ministry of India set a target to scan one crore people for sickle cell disease in 2022-23. However, with only two weeks left in the fiscal year, the Ministry has completed only 1% of the target.

What is Sickle Cell Anaemia?

anaemia

  • Sickle Cell Anaemia is a genetic blood disorder that affects the haemoglobin molecule in red blood cells.
  • People with sickle cell anaemia have abnormal haemoglobin that causes their red blood cells to become sickle-shaped, rigid and sticky.
  • These abnormal cells can clog small blood vessels, leading to excruciating pain, organ damage, and a higher risk of infections.
  • Sickle cell anaemia is inherited in an autosomal recessive pattern, which means that a person must inherit two copies of the mutated gene, one from each parent, to develop the disease.
  • There is no cure for sickle cell anaemia, but treatments are available to manage its symptoms and complications.

How widespread is it in India?

  • Sickle cell anaemia is prevalent in some parts of India, particularly in tribal and rural areas.
  • According to the ICMR, sickle cell trait is present in about 20-22% of the tribal population in central India, and the disease is present in about 3-5% of the same population.
  • It is estimated that there are about 30 million carriers of the sickle cell trait in India, and around 1.5-2 lakh sickle cell disease patients.
  • The disease is most commonly found in the states of Chhattisgarh, Madhya Pradesh, Maharashtra, Odisha, and Gujarat.

Recent discussions

  • India aims to eradicate sickle cell anaemia by 2047, Finance Minister announced during her Budget 2023 speech.
  • Under the new scheme, 70 million people up to the age of 40 years in affected tribal areas will be screened for the disease.
  • The Health Ministry has assigned tentative State-wise screening targets to the States for timely completion of the exercise.
  • The Ministry is working to create and maintain a central registry for all screened persons to prevent patients from slipping through the cracks.

Current status of screening

  • Only 1,05,954 people have been screened so far, out of which 5959 people, or 5.62% of those screened were found to be carrying sickle cell disease traits.
  • Regular and timely screening of the population is important, as in a previous screening exercise of over 1.13 crore people in 2016, up to 9,49,057 (8.75%) tested positive for the sickle cell trait, and up to 47,311 of these ended up with full-blown sickle cell disease.

Way forward

  • Increased screening: Achieving the goal of eliminating sickle cell anaemia would involve screening at least seven crore people under the age of 40 years in multiple phases by 2025-26.
  • Creating awareness: The Health Ministry is working to create awareness amongst those who carry the sickle cell trait to refrain from marrying another person who also carries the trait.
  • Targeted assessment: Pregnant women are a priority group for immediate screening, and in the long-term, screening of targeted population of unmarried adolescents between 10 to 25 years will be undertaken.

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Innovations in Biotechnology and Medical Sciences

Scientists devise ‘Glowscope’ to bring fluorescent microscopy to schools

Note4Students

From UPSC perspective, the following things are important :

Prelims level: Fluorescence Microscopy

Mains level: NA

microscope

Central idea: Researchers at Winona State University, Minnesota, have created a design for a rudimentary fluorescence microscope.

Why in news?

  • The development can be put together at a cost of $30-50 (Rs 2,500-4,100) using products purchased on online marketplaces.
  • The device aims to democratize access to fluorescence microscopy.

What is Fluorescence Microscopy?

  • An optical microscope views an object by studying how it absorbs, reflects or scatters visible light.
  • A fluorescence microscope views an object by studying how it reemits light that it has absorbed, i.e. how it fluoresces.
  • The object is illuminated with light of a specific wavelength.
  • Particles in the object absorb this light and reemit it at a higher wavelength.
  • These particles are called fluorophores; the object is infused with them before being placed under the microscope.

How does it work?

  • The setup consists of two plexiglass surfaces, an LED flashlight, three theatre stage-lighting filters, a clip-on macro lens, and a smartphone.
  • The smartphone (with the lens attached) is placed on one surface that is suspended at a height (say, a foot above).
  • The second sheet is placed below and holds the object.
  • One of the stage-lighting filters is held between the flashlight and the object and the other two were held between the object and the smartphone.
  • The sources of illumination were also LED flashlights emitting light of correspondingly different wavelengths.

Key observations

  • With this setup, the researchers were able to image the creatures’ brain, spinal cord, heart, and head and jaw bones.
  • They were able to zoom in and out using the smartphone camera and the clip-on lens.

How accessible is this?

  • Using a ‘glowscope’ still requires access to fluorophores, suitable biological samples, the know-how to combine the two, and some knowledge of physics to work out which LED flashlight to buy.
  • The Foldscope was truly remarkable because all its required components were simple to understand.
  • However, the fact that a simple fluorescent microscope can be set up with a few thousand rupees means researchers can prepare samples and take them to schools, where students can observe them.

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