23 May 2024 CNA
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TABLE OF CONTENTS
A. GS 1 Related B. GS 2 Related POLITY 1. On concerns over voter turnout data C. GS 3 Related D. GS 4 Related E. Editorials INTERNATIONAL RELATIONS 1. A ‘No-Limit’ bromance that is not just a bilateral matter ECONOMY 1. A vegetable triumvirate, inflation and the takeaway F. Prelims Facts 1. Ireland, Norway, and Spain set to formally recognise the statehood of Palestine 2. RBI to transfer ₹2,10,874 cr. surplus to Centre for FY24 3. BIMSTEC gets ‘legal personality’ after charter comes into force G. Tidbits H. UPSC Prelims Practice Questions I. UPSC Mains Practice Questions
A. GS 1 Related
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B. GS 2 Related
Category: POLITY
1. On concerns over voter turnout data
Syllabus: Elections in India
Mains: Issues in voter turnout data
Context: The transparency of voter turnout data has become a contentious issue in the ongoing Lok Sabha elections. Opposition leaders and civil society members are demanding the publication of Form 17C data, which records the absolute number of votes polled at each booth, citing discrepancies and delays in the data released by the Election Commission of India (ECI).
- The matter has escalated to the Supreme Court, seeking directives for the ECI to ensure timely and detailed disclosure of voter turnout information.
Issues Raised
- Discrepancies in Data: Significant differences between initial voter turnout figures and the final percentages have raised suspicions. For instance, initial turnout figures released shortly after polling contrasted starkly with later published data, showing unexplained increases.
- Delay in Data Release: The ECI has been criticized for the delayed release of voter turnout percentages, taking days after the polling phases to publish final figures.
- Lack of Detailed Data: The ECI has only published voting percentages without providing the absolute number of votes or detailed polling station-wise data, contrary to previous practices.
Significance
- Transparency and Trust: Publishing Form 17C data online enhances transparency, ensuring public confidence in the electoral process. It helps prevent doubts about potential manipulations or discrepancies.
- Verification by Candidates: Form 17C data allows candidates to verify the results against the Electronic Voting Machine (EVM) counts, crucial for maintaining the integrity of the election results.
- Legal Recourse: Discrepancies identified through Form 17C data can form the basis for election petitions in courts, ensuring accountability.
ECI’s Response
- Legal Obligations: The ECI stated it is not legally required to publish the absolute number of votes polled online, as copies of Form 17C are provided to polling agents, ensuring transparency.
- Operational Justifications: The ECI attributed delays and variations in turnout data to the extended polling hours and the inclusion of postal ballots.
- Potential for Misuse: The ECI argued that publicizing detailed data might cause confusion and be exploited to question the electoral process unjustly.
Supreme Court’s Intervention
- The Supreme Court is set to hear the petition by the Association for Democratic Reforms (ADR) to mandate the ECI to upload polling station-wise voter turnout data within 48 hours post-polling.
- The Chief Justice questioned why the ECI does not upload this readily available data, emphasizing the need for transparency.
Expert Opinions
- Common Cause: It highlighted the need for the ECI to upload scanned copies of Form 17C immediately to ensure transparency.
- ADR: It pointed out the impracticality for smaller parties to have polling agents in all booths, making online publication of Form 17C data essential for fair participation.
Solutions
- Mandate Timely Publication: Implement a rule requiring the ECI to publish Form 17C data online within a stipulated time frame post-polling.
- Enhance Legal Framework: Amend electoral laws to explicitly mandate the online publication of detailed polling data to avoid future ambiguities.
- Increase Transparency Measures: Ensure continuous improvement of transparency measures, including real-time updates and comprehensive data availability to the public and stakeholders.
Nut Graf: Ensuring transparency in voter turnout data is crucial for maintaining public trust in the electoral process. The publication of Form 17C data can address concerns about discrepancies and potential manipulation, fostering a more robust and accountable electoral system.
C. GS 3 Related
Nothing here for today!!!
D. GS 4 Related
Nothing here for today!!!
E. Editorials
Category: INTERNATIONAL RELATIONS
1. A ‘No-Limit’ bromance that is not just a bilateral matter
Syllabus: GS-2, Bilateral, Regional and Global Groupings and Agreements involving India and/or affecting India’s interests
Mains: Impact of Russia-China Bonhomie on India
Overview of Russia-China Relations:
- Historical Phases:
- 19th Century: Czarist Russia expanded into a weak China, retaining territories even after the Soviet Union’s formation.
- 1949-1962: Brief period of “Comintern brotherhood” followed by ideological rifts post-China’s 1962 attack on India.
- 1972 Shift: Post-Nixon’s visit, China tilted towards the West for economic support, distancing from the Soviet bloc.
- Post-2012 Realignment: Rising US-China tensions led to renewed Russia-China ties, culminating in the “No Limits” declaration in 2022.
- Modern Dynamics:
- Economic Dependence: Russia relies heavily on China for energy exports and sanctioned goods, with trade reaching $240 billion in 2023.
- US-China Relations: Despite tensions, China’s trade with the US ($575 billion) remains significantly higher than with Russia.
Beijing Summit’s Implications:
- Joint Statement Nuances:
- Lack of Detail: The 7,000-word statement omitted specifics on economic and military ties, possibly to avoid Western sanctions or highlight disagreements.
- Anti-US Sentiments: Strongly criticised US policies, labelling them as “dual containment” and destabilising.
- Short-Term Effects:
- Bilateral Cooperation: Likely an increase in collaboration, especially in materials for Russia’s Ukraine campaign.
- China’s Leverage: Potential for China to secure better terms for Russian resources and strategic cooperation.
- Long-Term Consequences:
- Global Polarization: Possible new Cold War dynamics, driven by China’s global ambitions and existing frameworks like BRICS and the Belt and Road Initiative.
Impact on India:
- Strategic Concerns:
- Russia’s Vulnerability: Russia’s economic and geopolitical dependence on China could affect India’s defence supplies and border security.
- Evaluating Alternatives: India must scrutinise whether Beijing’s global model aligns with its interests.
- Historical Lessons:
- Cold War Reflection: India’s past focus on non-alignment may have detracted from core national interests.
- Strategic Autonomy: Current global status offers India more leverage; it must act with a clear-headed strategy to maximize opportunities.
Strategic Recommendations:
- Leveraging Strengths:
- Economic and Technological Focus: Emphasize socio-economic development and realpolitik.
- Higher Profile in Global Order: Push for a more significant role within existing international frameworks.
- Nimble Approach:
- Adaptability: Prepare for a fluid global landscape, prioritizing long-term national goals with strategic foresight.
Nut Graf: The evolving Russia-China alliance, marked by significant geostrategic and economic ties, poses global implications, particularly for India. Amid potential new Cold War dynamics, India must leverage its strategic autonomy to navigate challenges and capitalize on emerging opportunities.
Category: ECONOMY
1. A vegetable triumvirate, inflation and the takeaway
Syllabus: GS-3, Storage, Transport and Marketing of Agricultural Produce and Issues and Related Constraints
Mains: Cause of inflation in TOP and possible solutions
Introduction: Inflation and CPI in India
- Inflation is a critical economic indicator reflecting changes in the general price level and cost of living.
- In India, the Consumer Price Index (CPI) measures price inflation, based on Laspeyre’s price index.
- The CPI basket comprises 299 items, with vegetables accounting for a weight of 6.04%.
The Significance of TOP (Tomato, Onion, Potato):
- TOP holds a weightage of 2.2% in the overall CPI basket.
- TOP’s significance extends beyond its numerical representation, influencing both food and beverage inflation and headline CPI figures.
- In urban areas, TOP constitutes 3.6% of the total consumption basket.
- For the bottom 5% of rural consumption classes, TOP constitutes 5% of the total consumption basket.
Recent Trends and Price Volatility:
- In FY2023-24, vegetable prices in India increased by about 15% year-on-year.
- Vegetable prices showed significant volatility, with a drop of 0.7% in June and a rise of 37.4% in July.
- Vegetables, despite having a 6% weight in the CPI basket, contributed to about 30% of inflation in February and March 2024.
- Tomato prices soared by 202% in July 2023, contributing to 18.1% of total headline inflation despite having only a 0.6% weight in the CPI basket.
- The overall contribution of vegetables to headline inflation in July 2023 was 31.9%, with TOP contributing 17.2%.
Addressing Volatility and Supporting Farmers:
- TOP commodities exhibit high price volatility, with a coefficient of variation (CoV) of 5.2 from January 2015 to March 2024.
- This CoV is significantly higher than that of the vegetables sub-group (CoV=3.0), food group (CoV=0.6), and headline inflation (CoV=0.3).
- Effective policy interventions are needed to reduce volatility and support farmers.
- Potential solutions include:
- Overhauling agricultural value chains.
- Improving cold storage facilities.
- Providing better prices for farmers to incentivize production.
- Reducing high input prices of fertilizers and pesticides.
- Recent short-term measures, such as lifting export bans on onions ahead of elections, highlight the need for long-term solutions.
- Farmers have continually demanded Minimum Support Prices for onions, a demand that remains largely ignored by the government.
Nut Graf: The volatility of tomato, onion, and potato prices significantly impacts India’s inflation, underscoring the need for effective policy interventions, improved agricultural value chains, and better support for farmers to stabilize prices and reduce inflationary pressures.
F. Prelims Facts
1. Ireland, Norway, and Spain set to formally recognise the statehood of Palestine
Context:
- Ireland, Norway, and Spain have announced their decision to formally recognize the statehood of Palestine, a significant development in international diplomacy amidst ongoing conflict in Gaza. This recognition aligns with broader efforts to seek a peaceful resolution to the Israeli-Palestinian conflict through a two-state solution.
Recent Developments
- Formal Recognition: Ireland, Norway, and Spain will formally recognize the state of Palestine on May 28. This decision follows increasing international support for Palestinian statehood.
Statements from Leaders:
- Ireland: Prime Minister Simon Harris linked the recognition to Ireland’s own historical struggle for independence and emphasized the need for peace and reconciliation in West Asia.
- Norway: Prime Minister Jonas Gahr Støre highlighted the urgency of recognizing Palestine to foster a political solution for Israelis and Palestinians.
- Spain: Prime Minister Pedro Sanchez described the recognition as a step towards peace, justice, and moral consistency, not against Israel but for the promotion of peace.
UN Membership
- The move comes weeks after a significant vote at the UN General Assembly, where 143 out of 193 member countries supported full membership for Palestine. This international backing underscores a growing consensus on the need for Palestinian statehood.
ICC Actions
- The announcements coincide with the International Criminal Court’s (ICC) decision to seek arrest warrants for Israeli leaders on charges of war crimes and crimes against humanity, as well as for Hamas leaders. This adds a legal dimension to the international community’s stance on the conflict.
Context of the Conflict
- The latest conflict escalation began with a Hamas attack on Israel on October 7, 2023, leading to significant casualties and hostages taken by Hamas. Israel’s subsequent retaliatory attacks on Gaza resulted in a high number of Palestinian casualties, highlighting the urgent need for a political solution.
Issues
- Discrepancies in International Responses: The European Union countries displayed mixed reactions to the ICC’s actions, reflecting the complexities of international law and political stances.
- Humanitarian Impact: The ongoing conflict has led to substantial loss of life, with significant casualties reported, particularly among children in Gaza.
Significance
- Support for Two-State Solution: The recognition by Ireland, Norway, and Spain reinforces the push for a two-state solution, seen as the only viable path to lasting peace.
- International Solidarity: This move signifies a broader international solidarity with Palestinian statehood, potentially influencing other countries to follow suit.
Solutions
- Diplomatic Efforts: Continued and enhanced diplomatic efforts are necessary to mediate peace talks between Israel and Palestine.
- International Pressure: Increased international pressure on both parties to cease hostilities and engage in meaningful dialogue.
- Humanitarian Aid: Provision of humanitarian aid to affected populations in Gaza to alleviate the immediate suffering and support recovery efforts.
2. RBI to transfer ₹2,10,874 cr. surplus to Centre for FY24
Context: The Reserve Bank of India (RBI) has approved a record transfer of ₹2,10,874 crore as surplus to the Union government for the financial year 2023-24. This significant transfer, more than double the amount transferred in the previous fiscal year, is expected to aid fiscal consolidation efforts.
Recent Developments
- Record Transfer: The RBI’s surplus transfer to the Centre for FY24 amounts to ₹2,10,874 crore, compared to ₹87,416 crore in FY23.
- Contingent Risk Buffer: The RBI Board also decided to increase the Contingent Risk Buffer (CRB) to 6.50% from 6% in the previous year.
Basis of Transfer
- The surplus has been determined based on the Economic Capital Framework (ECF) adopted by the RBI in August 2019, following the recommendations of the Expert Committee to review the existing Economic Capital Framework.
Issues
- Economic Impact: The large transfer raises questions about its impact on the RBI’s balance sheet and its ability to manage future economic uncertainties.
- Fiscal Dependency: The government’s reliance on RBI transfers for fiscal consolidation highlights concerns about sustainable revenue generation and fiscal discipline.
Significance
- Fiscal Consolidation: Economists see this transfer as a positive step towards achieving the government’s fiscal consolidation goals. The surplus will provide much-needed fiscal space.
- Revenue Boost: The windfall gain will enhance the government’s revenue, potentially reducing the need for borrowing and improving the fiscal deficit situation.
- Economic Stability: A higher surplus transfer indicates robust income from the RBI’s domestic and foreign assets, suggesting economic stability and efficient asset management by the central bank.
Solutions
- Efficient Utilization: The government should ensure efficient utilization of the surplus funds for productive investments that spur economic growth.
- Structural Reforms: Implement structural reforms to enhance revenue generation from sustainable sources and reduce dependency on RBI transfers.
- Fiscal Discipline: Maintain fiscal discipline by controlling expenditure and improving tax compliance to ensure long-term economic stability.
3. BIMSTEC gets ‘legal personality’ after charter comes into force
Context: The Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) has achieved a significant milestone with the adoption of its first charter, which grants the grouping a legal personality. This development paves the way for BIMSTEC to engage in structured diplomatic dialogue and expand its membership.
Background
- Formation: BIMSTEC was established in 1997 to promote regional cooperation among its seven member states: Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka, and Thailand.
- Challenges: For many years, BIMSTEC struggled to form a consensus on a common charter that encapsulated the group’s vision.
Recent Developments
- Charter Adoption: The BIMSTEC charter was adopted during the 5th summit of the BIMSTEC leaders held virtually under the chairmanship of Sri Lanka on March 30, 2022.
- Ratification: The charter came into force on May 20, 2024, following its ratification by Nepal’s parliament.
- Legal Personality: The charter endows BIMSTEC with legal personality, enabling it to enter into formal agreements and structured dialogues with other international entities.
Statements from Leaders
- India’s Commitment: External Affairs Minister S. Jaishankar highlighted the alignment of BIMSTEC with India’s Neighbourhood First and Act East policies, emphasizing India’s commitment to a prosperous, peaceful, and sustainable neighbourhood.
- Institutional Framework: Official Spokesperson Randhir Jaiswal stated that the charter provides a legal and institutional framework for meaningful cooperation and deeper integration in the Bay of Bengal region.
Historical Context
- SAARC Comparison: BIMSTEC’s rise in prominence is partly due to the stagnation of the South Asian Association for Regional Cooperation (SAARC), which last met in 2014. The 2016 SAARC summit was derailed due to tensions between India and Pakistan.
- BIMSTEC’s Role: India has increasingly viewed BIMSTEC as a viable alternative to SAARC, especially in light of its alignment with the Act East policy.
Regional Challenges
- Bangladesh-Myanmar Relations: BIMSTEC has faced challenges such as the Rohingya refugee crisis, which has strained relations between Bangladesh and Myanmar. The 2021 coup in Myanmar has also led to an influx of refugees into Thailand, further complicating regional dynamics.
Issues
- Political Tensions: Persistent regional conflicts, such as the Rohingya crisis, pose challenges to the unity and cooperation within BIMSTEC.
- SAARC vs BIMSTEC: The debate on whether BIMSTEC is a replacement for SAARC remains contentious, particularly among member states like Nepal that continue to support SAARC’s revival.
Significance
- Enhanced Cooperation: The legal personality allows BIMSTEC to formalize and expand its cooperation with other international organizations and countries.
- Regional Integration: The charter facilitates deeper integration and more robust economic and technical cooperation among member states.
- Strategic Shift: The shift from SAARC to BIMSTEC aligns with India’s strategic priorities in the region, promoting greater regional stability and economic development.
G. Tidbits
Nothing here for today!!!
H. UPSC Prelims Practice Questions
Q1. ‘Ussuri River’ border dispute was a conflict between:
- China and the Soviet Union
- China and Vietnam
- Russia and Ukraine
- China and Bhutan
CHECK ANSWERS:-
Answer: a
Explanation: Russia (then Soviet Union) and China had armed clashes in 1969 over the Ussuri River border dispute.
Q2. How many of these countries are a part of both BRICS and the Shanghai Cooperation Organisation (SCO)?
- India
- Russia
- China
- Sri Lanka
Choose the correct answer using the code given below:
- One only
- Two only
- Three only
- All four
CHECK ANSWERS:-
Answer: c
Explanation: Sri Lanka is neither a member of the Shanghai Cooperation Organisation nor the BRICS grouping.
Q3. ‘Laspeyre’s Price Index’ often seen in the news is a method used for calculating which of the following indices?
- Consumer Price Index
- Consumer Confidence Index
- Purchasing Manager’s Index
- All three
CHECK ANSWERS:-
Answer: a
Explanation: Laspeyre’s Price Index is a methodology to calculate the consumer price index by measuring the change in the price of the basket of goods in the present year to the base year.
Q4. Consider the following statements with respect to BIMSTEC:
- It came into being in 1997 through the Bangkok Declaration.
- The BIMSTEC charter came into being in 2024.
- Its secretariat is in Colombo, Sri Lanka.
How many of these statements is/are incorrect?
- One only
- Two only
- All three
- None
CHECK ANSWERS:-
Answer: a
Explanation: The BIMSTEC Secretariat is in Dhaka, Bangladesh.
Q5. Consider the following statements with respect to ‘ENCORE’ (Enabling Communications on Real-time Environment):
- It is an in-house software system developed by the Election Commission of India.
- It helps in tracking voter turnout and effectively managing election data.
- The ENCORE Portal can be accessed by all officers at ECI, State, District and Constituency levels.
How many of these statements is/are incorrect?
- One only
- Two only
- All three
- None
CHECK ANSWERS:-
Answer: d
Explanation: All three statements are correct.
I. UPSC Mains Practice Questions
- The growing bonhomie between Russia and China is a cause of concern for India. Discuss. (15 marks, 250 words) [GS-2, International Relations]
- As the flag bearers of Indian elections, the Election Commission of India needs much more autonomy than what it has currently. Do you agree? Discuss. (15 marks, 250 words) [GS-2, Polity]
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