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  • 13 Nov 2024
  • 55 min read
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Indian Polity

Inter-State Council

For Prelims: Inter-State Council, Federalism, Governor, Goods and Services Tax, Sarkaria Commission, Zonal Councils

For Mains:  Inter-State Council and issues, Centre-State relations, Federalism in India

Source: BS

Why in News?

The Indian government has recently reconstituted the Inter-State Council (ISC) after two years, with the last reconstitution in 2022, appointing the Prime Minister(PM) as chairman and underscoring a renewed commitment to Centre-State relations and cooperative federalism. 

What is the Inter-State Council? 

  • Establishment: The ISC was constituted to facilitate Centre-State and Inter-State cooperation in India. 
    • It was established under Article 263 of the Constitution, which empowers the President of India to establish an ISC for better coordination between States. 
    • The Sarkaria Commission (1988) recommended making the ISC a permanent body, leading to its formal establishment in 1990 through a Presidential Order. 
  • Functions of the ISC: It discusses subjects of common interest to states and the Union and makes recommendations for the coordination of policies and actions. 
    • The ISC also investigates issues affecting Centre-State and Inter-State relations to ensure seamless governance. 
  • Composition of the Council: The PM serves as the Chairperson. Members include Chief Ministers(CMs) of all States, CMs of Union Territories having a Legislative Assembly and Administrators of UTs not having a Legislative Assembly, and 6 Union Ministers of Cabinet rank, nominated by the Prime Minister, are also part of the ISC. 
    • The Presidential Order of 1990 has been amended twice, first in 1990 and then in 1996, to allow the Governor of a State under President's rule to attend the meeting of the ISC and for the Chairman to nominate permanent invitees from amongst the other Union Ministers, respectively. 
    • In the second meeting of the ISC held in 1996, the Council decided to set up a Standing Committee for continuous consultation and processing of matters for consideration of the Council.  
      • Accordingly, a Standing Committee was set up under the Chairmanship of the Home Minister and has been reconstituted from time to time with the approval of the Chairman of the Council. 
  • Secretariat: The Inter-State Council Secretariat(ISCS) in New Delhi was established in 1991 and is headed by a Secretary to the Government of India 
    • The secretarial functions of the Zonal Councils have been transferred to the ISCS since 2011. 
  • Benefits: Policies developed through ISC deliberation would hold greater social legitimacy, enhancing acceptance among states and reducing friction. 
    • The ISC maintains the balance of power between the Union and states, preventing dominance by either side. It ensures that Union decisions align with the constitutional framework and federal principles, especially during reforms like Goods and Services Tax (GST) or demonetization that may strain Union-state relations. 

Other Key Inter-State and Centre-State Bodies 

  • Zonal Councils: These are statutory bodies established under the States Reorganisation Act of 1956.  
    • There are five Zonal Councils (Northern, Central, Eastern, Western, and Southern). They aim to promote interstate cooperation and coordination, each Zonal Council is headed by the Union Home Minister, with CMs from the constituent states serving as Vice-Chairpersons on a rotating basis. 
    • The North Eastern region has a separate council, the North Eastern Council, created in 1972, set up under the North Eastern Council Act, 1972.  
  • River Water Dispute Tribunals: These tribunals are constituted under the Inter-State River Water Disputes Act, 1956, to adjudicate disputes between states over the sharing of river waters. 
    • Article 262 provides that Parliament may by law provide for the adjudication of any dispute or complaint with respect to the use, distribution or control of the waters of, or in, any inter-State river or river valley. 
  • The Goods and Services Tax (GST) Council: It was established under Article 279A of the Constitution, is a constitutional body responsible for deciding key issues related to GST implementation in India.  
    • It comprises the Union Finance Minister, the Union Revenue Minister, and State Finance Ministers, with decisions made through a consensus-based approach. 
    • Since its inception in 2016, the Council has made significant decisions on tax rates, and exemptions, promoting cooperative federalism and streamlining business operations in India. 

What are the Challenges Regarding the Inter-State Council? 

  • Infrequent Meetings: Despite its purpose, the ISC has been criticised for irregular meetings, having met only 11 times since its establishment in 1990 
    • The procedure mandates that it should meet at least three times a year, but the last meeting was held in July 2016. 
  • Non-Binding Recommendations: The ISC faces key challenges due to its advisory and non-binding nature, which limits its impact on resolving disputes and hinders effective Union-State coordination.  
    • Its broad mandate lacks enforcement authority, making it more a discussion forum than a decision-making body.  
    • Additionally, there is often a lack of robust follow-up mechanisms to ensure that recommendations are tracked and implemented, necessitating a more structured approach for meaningful outcomes. 
  • Political Dynamics: The political landscape can influence the functioning of the ISC. Differences in political ideologies between the central and state governments can affect the council's ability to reach consensus on various issues.

What Reforms are Needed for ISC to Function Effectively?

  • Amendment of Article 263: The Punchhi Commission (2010) emphasised making the ISC a specialised body to address intergovernmental relations and federal challenges. 
    • Amending Article 263 to strengthen the ISC’s mandate for addressing both inter-state and Union-state issues could enhance its role as a consultative and decision-making forum. 
  • Regular and Timely Meetings: Reviving the mandate for regular meetings could foster continuity in discussions and provide states with a regular platform for policy input. 
  • Clear Agenda and Priorities: Establish a clear agenda and set of priorities for each meeting, focusing on pressing inter-state issues such as water disputes, infrastructure development, and economic cooperation. 
  • Technology Integration: Utilise digital tools and platforms to facilitate communication, data sharing, and decision-making processes within the ISC, making it more efficient and responsive. 

Conclusion 

To truly strengthen India’s federal framework, the Inter-State Council needs to evolve from a largely advisory body into a more proactive and empowered institution. Reforms like enhancing its mandate and ensuring regular, outcome-driven meetings will be crucial in fostering deeper cooperation and resolving the complexities of Centre-State relations. 

Drishti Mains Question: 

Discuss the role and significance of the Inter-State Council  in maintaining cooperative federalism in India. How effective has it been in addressing Centre-State issues?

UPSC Civil Services Examination Previous Year’s Questions (PYQs) 

Prelims:

Q.1.Which one of the following in Indian polity is an essential feature that indicates that it is federal in character? (2021) 

(a) The independence of judiciary is safeguarded. 

(b) The Union Legislature has elected representatives from constituent units. 

(c) The Union Cabinet can have elected representatives from regional parties. 

(d) The Fundamental Rights are enforceable by Courts of Law. 

Ans: A 

Q.2.Which one of the following is not a feature of Indian federalism? (2017) 

(a) There is an independent judiciary in India. 
(b) Powers have been clearly divided between the Centre and the States. 
(c) The federating units have been given unequal representation in the Rajya Sabha. 
(d) It is the result of an agreement among the federating units. 

Ans: D


Science & Technology

Adaptive Defence for Emerging Security Challenges

Source: TH 

Why in News?

Recently, India’s Defence Minister advocated to create an Adaptive Defencein the country to counter the new security challenges posed by the fast-changing world. 

  • He also said India is working on emerging technologies in face of diverse challenges. 

What is Adaptive Defence? 

  • About Adaptive Defence: It is a strategic approach where a nation's military and defence mechanisms continuously evolve to counter emerging threats. 
    • It focuses on anticipating future threats, rather than merely reacting to past or current ones. 
  • Key Elements of Adaptive Defence: 
    • Situational Awareness: The ability to understand and respond to dynamic environments. 
    • Flexibility: Both at strategic and tactical levels to ensure timely and effective responses. 
    • Resilience & Agility: The ability to recover and adapt quickly to changing circumstances. 
    • Integration with Emerging Technologies: Emphasising the need for adaptive defence to incorporate emerging technologies. 
    • Joint Military Vision: Evolution of joint military strategies to address future threats, involving not just national military forces, but also strategic international cooperation. 
  • Evolution of Warfare: 
    • Grey Zone & Hybrid Warfare: Traditional notions of war are changing due to new threats such as cyber-attacks and terrorism. Modern warfare now includes non-traditional elements, demanding continuous adaptation. 
    • Technological Transformation: Emerging technologies like Artificial Intelligence (AI), drones, and swarm technologies are reshaping warfare and defence strategies. 
      • Swarm technology allows drones, satellites, or spacecraft to work together in a coordinated way using decentralised control, automation, and self-organisation. 
    • Psychological Warfare: Manipulating, disrupting, or controlling information to influence public opinion, deceive, or disrupt the decision-making processes of governments. 
  • Government Initiatives for Adaptive Defence: 

Note: 

  • Grey Zone Warfare: It involves tactics and strategies that are below the threshold of full-scale conflict but still pose significant risks to national security. E.g., cyberattacks, covert influence operations, and espionage. 
  • Hybrid Warfare: It integrates both kinetic (physical) and non-kinetic (psychological, cyber, economic) means of warfare to achieve strategic goals. E.g., a mix of regular military forces (conventional) and irregular forces, such as insurgents, mercenaries, or proxy forces (unconventional). 
  • Asymmetric Warfare: Terrorist groups, insurgents, and other non-state actors often rely on unconventional tactics, like guerrilla warfare and suicide bombings, to challenge superior military forces. E.g., Hamas attack on Israel. 

What are New Security Challenges for India? 

  • Emerging Technologies:  
    • Artificial Intelligence (AI): AI in military applications can manipulate early warning systems, and develop new weapons. 
    • Synthetic Biology: Combination of biology, engineering, and technology can design and develop biological weapons or even new life forms with harmful effects. 
    • Cybersecurity: Cyberattacks can debilitate critical infrastructure such as nuclear facilities, military systems, and intelligence networks.  
  • Autonomous Weapons:  
    • Lethal Autonomous Weapons (LAWs): LAWs can independently identify, target, and engage threats without human intervention using AI and machine learning. 
    • Unmanned Underwater Vehicles (UUVs): They are capable of military surveillance, mine detection, scientific research, and underwater mapping. 
  • Hypersonic Missiles: Hypersonic weapons can avoid radar detection and adjust their own path, making them hard to defend against. 
  • Space Warfare: Space militarisation could disrupt or destroy satellite systems and other space based services like communication, navigation systems etc. 
  • Terrorism: Drones can bypass traditional defence systems surveillance, targeted attacks, or the delivery of explosives.  
  • Geopolitical Tensions: China-US tensions, Ukraine War, nuclear threats in hotspots like Korea and the South China Sea can have significant implications for regional stability. 
  • Environmental Security: Rising temperatures, sea-level changes, and extreme weather events can lead to new security challenges, including the displacement of populations and resource-based conflicts.   
  • Global Security Architecture: The traditional dominance of the United States is being challenged by the rise of China.  
    • It could lead to a power vacuum, encouraging instability in various regions, especially in the Middle East, Africa, and Eastern Europe.

What are India's Initiatives in Promoting Emerging Technologies? 

  • Artificial Intelligence (AI):  
    • AIRAWAT (AI Research, Analytics, and Knowledge Dissemination Platform): AIRAWAT provides a common compute platform for AI research across various sectors, facilitating access for technology hubs, start-ups and research labs. 
    • IndiaAI Mission: The IndiaAI Mission aims to democratise AI access, develop indigenous AI capabilities, and attract top AI talent through initiatives like AI Compute Capacity, and AI Innovation Centers. 
    • Global Partnership on Artificial Intelligence (GPAI): India is a founding member of GPAI, an initiative focused on the responsible development of AI with an emphasis on human rights, inclusion, and innovation. 
  • Internet of Things (IoT): IoT Centres of Excellence have been established at Bengaluru, Gurugram, Gandhinagar, and Visakhapatnam to support start-ups and enterprises in IoT, Big Data, AI, and Robotics. 
  • Virtual Reality and Augmented Reality (VR/AR): The Centre of Entrepreneurship for Virtual and Augmented Reality (VARCoE) has been established at IIT Bhubaneswar for VR/AR innovation and skill development. 
  • Blockchain Technology: National Strategy on Blockchain has been formulated to create a secure, transparent digital service delivery to citizens and businesses. 
  • Robotics: An Inter-Ministerial Committee for Robotics was constituted to support the domestic robotics industry. 
  • Quantum Technology: National Mission on Quantum Technologies and Applications (NMQTA) was launched to develop intermediate-scale quantum computers with 50-1000 physical qubits in 8 years. 

Way Forward 

  • Technological Integration: Integration of AI and related technologies into defence systems will enhance India’s ability to foresee threats and respond to new threats faster and more efficiently. 
  • Cybersecurity: Establishment of a robust cyber defence framework, regular cybersecurity drills and updates to military systems can help prevent cyberattacks. 
    • Establish a dedicated cyberforce like China’s Cyberspace Force to deal with cyberattacks. 
  • Resilience Against Hybrid Warfare: Educate the public to recognise fake news and propaganda, especially during conflicts, by using social media and other platforms to promote truthful, fact-based information and counter hostile narratives. 
    • Militaries should establish dedicated units for countering disinformation and propaganda. 
  • Autonomous Systems: India should increase investment in anti-drone technologies and drone defence systems, as well as continue to expand its Drone Hub Vision. 
  • Space Warfare: India should continue to enhance its anti-satellite (ASAT) capabilities and focus on strengthening satellite resilience.   
    • Develop Space Force on the lines of United States Space Force (USSF) to secure space-based infrastructure, and assets from potential threats. 

Drishti Mains Question: 

With the rise of hybrid and grey zone warfare, how should India evolve its defence strategies to handle the convergence of cyber-attacks, misinformation, and traditional military threats?

UPSC Civil Services Examination Previous Year Question (PYQ) 

Prelims  

Q. Which one of the following is the context in which the term “Qubit” is mentioned?  

(a) Cloud Services 

(b) Quantum computing 

(c) Visible light communication technologies 

(d) Wireless Communication Technologies 

Ans: (b)

Q. With the present state of development, Artificial Intelligence can effectively do which of the following?(2020) 

  1. Bring down electricity consumption in industrial units
  2. Create meaningful short stories and songs
  3. Disease diagnosis
  4. Text-to-Speech Conversion
  5. Wireless transmission of electrical energy

Select the correct answer using the code given below: 

(a) 1, 2, 3 and 5 only  

(b) 1, 3 and 4 only 

(c) 2, 4 and 5 only  

(d) 1, 2, 3, 4 and 5 

Ans: (b)


Mains

Q. What are the areas of prohibitive labour that can be sustainably managed by robots? Discuss the initiatives that can propel the research in premier research institutes for substantive and gainful innovation. (2015)


Social Issues

Silent Crisis of Mental Health in India

For Prelims: National Crime Records Bureau, mental disorders, WHO, Disability-adjusted life years (DALYs), United Nations Convention on Rights of People with Disabilities (UNCRPD), Mental Healthcare Act, 2017, NIMHANS 

For Mains: Accidental Deaths & Suicides in India 2021,  Mental disorders, Men's Mental Health in India.

Source: DTE

Why in News? 

The Accidental Deaths & Suicides in India 2021, report  highlighted a growing concern regarding mental health in India, an issue that remains significantly underexplored despite its critical implications for public health.

What Contributes to the Crisis of Mental Health in India?

  • Alarming Statistics: 
    • Suicide Rates: According to this report by the National Crime Records Bureau, men account for 72.5% of suicide victims in India, indicating a profound mental health crisis. 
      • In 2021, over 73,900 more men than women died by suicide, despite research indicating women have higher rates of anxiety and depression. 
    • Disparity Across Age Groups: A significant increase in suicides is observed among men aged 18-59, with a 170.7% rise in suicides among daily wage earners from 2014 to 2021. 
  • Impact of Societal Norms: 
    • Cultural Expectations: Deep-rooted cultural norms often prevent men from addressing emotional struggles, as stoicism and resilience are valued.  
      • This, combined with the stigma around mental illness, creates significant barriers to seeking help, worsening the mental health crisis among Indian men. 
    • Coping Mechanisms: Men tend to externalize mental health issues through aggression or substance abuse rather than seeking emotional support, which is more common among women.  
      • Women typically seek emotional support from loved ones, while men often use problem-focused strategies, distancing from their emotions. 
    • Contrast in Mental Disorders: While men exhibit higher suicide rates, women report more mental disorders like anxiety and depression, highlighting men's lesser ability to cope. 
  • Physiological and Psychological Factors: 
    • Stress Responses: Research indicates that men typically respond to stress with a "fight or flight" reaction, releasing stress hormones like norepinephrine and cortisol. 
    • Differences in Coping Strategies: Women’s "tend and befriend" response, influenced by oxytocin release, often leads them to seek social support, contrasting with men's tendencies to distance themselves from their emotions. 

What is the Status of Mental Healthcare in India? 

  • As per WHO estimates, the burden of mental health problems in India is 2443 disability-adjusted life years (DALYs) per 100 00 population; the age-adjusted suicide rate per 100,000 population is 21.1.  
  • In India, according to the National Institute of Mental Health and Neuro-Sciences data, more than 80% of people do not have access to mental healthcare services. 
  • As per the National Mental Health Survey (NMHS) 2015-16, 10.6% of adults in India suffered from mental disorders while the treatment gap for mental disorders ranged between 70% and 92% for different disorders. 

Note: 

  • Disability-adjusted life Years (DALYs) is the sum of the number of years of life lost due to premature death and a weighted measure of the years lived with disability due to a disease or injury. The use of DALYs to track disease burden is recommended by India’s National Health Policy of 2017. 

What are the Steps taken by the Government to Address the Mental Health in India? 

  • National Mental Health Program (NMHP): To address the huge burden of mental disorders and the shortage of qualified professionals in the field of mental health, the government has been implementing the NMHP since 1982. 
    • The Program was re-strategised in 2003 to include two schemes, viz. Modernisation of State Mental Hospitals and Up-gradation of Psychiatric Wings of Medical Colleges/General Hospitals. 
  • Mental Health Care Act 2017: It guarantees every affected person access to mental healthcare and treatment from services run or funded by the government. 
    • It has significantly reduced the scope for the use of Section 224 of the BNS and made the attempt to commit suicide punishable only as an exception. 
      • The Section mandates that attempting suicide to compel or restrain a public servant from their duties is punishable by up to one year of simple imprisonment, a fine, both, or community service. 
  • Kiran Helpline: In 2020, the Ministry of Social Justice and Empowerment launched a 24/7 toll-free helpline ‘Kiran’ to provide support to people facing anxiety, stress, depression, suicidal thoughts and other mental health concerns. 
  • MANAS Mobile App: To promote mental wellbeing across age groups, the Government of India launched MANAS (Mental Health and Normalcy Augmentation System) in 2021. 

What are the Technological Innovations in Mental Health? 

  • AI in Mental Health Support: Artificial Intelligence (AI) presents new opportunities to address men's mental health challenges, particularly for those reluctant to seek traditional help. 
    • AI-driven Tools: Platforms like Fortis Healthcare’s Adayu Mindfulness app and Manodayam are already using AI to provide personalised mental health insights and blended treatment options. 
    • Innovative Algorithms: The method helps identify subtle language and behavior patterns that may signal early signs of mental health issues like depression or anxiety. 
    • Tailored Treatment Strategies: AI can analyse personal therapy responses to suggest the best treatment options, improving results. 
  • Brain Stimulation:  
    • Transcranial Direct Current Stimulation (tDCS): It is a non-invasive treatment using magnetic pulses to target specific brain areas, showing promise for severe depression that doesn’t respond to standard medications. 
    • Closed-Loop Neurostimulation: It uses sensors to monitor brain activity and automatically adjusts stimulation settings based on the detected brainwaves in real-time.  

What are the Recommendations for Addressing the Crisis? 

  • Increasing Mental Health Literacy: There is a critical need to enhance awareness and understanding of mental health issues among men to reduce stigma. 
  • Innovative Approaches: Leveraging AI and other technological solutions can facilitate access to mental health resources. 
    • AI-driven chatbots and virtual assistants, utilising natural language processing and machine learning, can provide accessible and personalised mental health support in real-time. 
  • Creating Supportive Environments: Breaking down societal barriers and fostering open conversations around mental health can encourage people to seek help and support. 
  • Vision for the Future: Envision a future where mental health is prioritised, and men feel empowered to seek help without stigma. 
  • Ensure Proper Workforce: There are just 0.3 psychiatrists, 0.07 psychologists and 0.07 social workers per 100,000 people in India 
    • As compared to psychiatrists in developed countries it is 6.6 per 100,000 and the average number of mental hospitals globally is 0.04 per 100,000 while it's only 0.004 in India. 

Conclusion

The silent crisis of mental health in India necessitates a multifaceted approach that includes enhancing mental health literacy, promoting innovative technological solutions, and dismantling societal stigmas surrounding emotional vulnerability.  

Drishti Mains Question 

Examine the socio-cultural, psychological, and systemic factors behind India's men's mental health crisis and propose measures to enhance mental healthcare accessibility and awareness.

Mains

We can never obtain peace in the outer world until and unless we obtain peace within ourselves. (2021)


Biodiversity & Environment

UNEP's Adaptation Gap Report 2024

For Prelims: United Nations (UN), Adaptation Gap Report, UN Environment Programme (UNEP), Nationally Determined Contributions (NDCs)

For Mains: Need for Revamping Climate Financing, Challenges in Climate Adaptation Financing

Source: DTE

Why in News? 

Recently, the United Nations Environment Programme (UNEP) released the Adaptation Gap Report 2024: Come hell and high water. 

  • The report stresses the need for significant increases in climate adaptation efforts, particularly regarding adaptation financing for developing nations. 

What are the Key Findings of the Adaptation Gap Report 2024? 

  • Adaptation Finance Gap: The adaptation finance gap, indicating the disparity between financing needs and actual funds, has widened. 
    • Current funding (2022) is significantly below requirements, with only USD28 billion provided—meeting just 5% of the projected needs under the Glasgow Climate Pact. 
      • Glasgow Climate Pact aims to reduce methane emissions by at least 30% below 2020 levels by 2030. 
    • UNEP estimates developing countries need USD 387 billion annually by 2030 for adaptation. 
  • Funding Crunch: Only about one-third of the adaptation finance gap is in sectors typically funded by the private sector, leaving significant opportunities for private investment.  
  • Impact of Global Warming: The Emissions Gap Report, 2024 indicates that global temperatures could increase by 2.6°C to 3.1°C above pre-industrial levels by 2100. 
    • Developing countries suffer the most from climate-induced weather events despite having minimal contributions to global greenhouse gas emissions. 
    • Recent floods in Nepal, Nigeria, and Chad underscore the financial and infrastructural vulnerabilities of these nations. 
  • Progress on National Adaptation Plans (NAPs): While 171 countries have at least one adaptation policy, out of 26 countries without an adaptation policy, 10 are uninterested in developing one, indicating slow progress in NAP planning and implementation. 
    • The UAE Framework for Global Climate Resilience (UAE-FGCR), introduced at UNFCCC COP28, sets dimensional and thematic targets (e.g., agriculture, water, health) for adaptation, yet implementation is lagging. 
      • It is the first international declaration of its kind with climate adaptation as the primary focus. 
  • Transformational Adaptation: UNEP calls for a shift from reactive to strategic adaptation, addressing harder-to-finance areas like ecosystem preservation and cultural heritage. 
    • The concept of "transformational adaptation" was contentious during COP28 but is considered crucial for addressing the rising risks. 
      • Transformational Adaptation refers to actions that adapt to climate change by making substantial changes in structure or function, surpassing mere adjustments to current practices. 

 

What are the Challenges in Climate Adaptation Financing for Developing Countries? 

  • Limited Financial Capacity: Adaptation projects like seawall construction, resilient infrastructure, and water security are financially burdensome for developing countries. 
  • Shortfall in Developed Countries' Contributions: Developed nations, despite obligations under climate agreements, have fallen short on promised financial support, notably the USD100 billion goal set for 2020. 
  • Dependence on High-Interest Loans: Much of the current funding consists of high-interest loans, exacerbating debt burdens and creating financial strain for recipient countries. 
  • Urgency of Financial Commitment at COP29: The goal to double adaptation finance by 2025 will only partially bridge the gap, highlighting a need for innovative financing models. 

What are the Efforts and Commitments Adopted to Address Climate Change?  

  • Global Efforts: 
    • Glasgow Climate Pact and Doubling Finance Goals: At UNFCCC COP26, developed countries committed to doubling adaptation finance from 2019 levels of USD 19 billion to USD 38 billion by 2025 and establishing a new climate financing goal for 2030. 
    • ADB Climate Adaptation Investment Planning Programme (Asian Development Bank 2023): It's a regional program helping ADB's developing member countries create adaptation investment plans from their national adaptation priorities and goals. 
    • UNDP Adaptation Accelerator (UNFCCC 2024): The UNDP-Adaptation Fund Climate Innovation Accelerator (AFCIA) is a program that supports locally-led adaptation practices to help communities become more resilient to climate change. 
  • India's Efforts: 
    • India's climate resilience and adaptation spending was 5.6% of GDP in 2021-2022, as per the Economic Survey 2023-24. 
    • International financing has increased from 13% in the financial year 2019 to 17% in the financial year 2020. 
    • At the 26th session of the UNFCCC Conference of the Parties (COP26), India presented five nectar elements (Panchamrit) as its Nationally Determined Contributions (NDC).

Climate Financing 

  • It refers to local, national, or transnational financing—drawn from public, private and alternative sources of financing—that seeks to support mitigation and adaptation actions that will address climate change. 

Way Forward 

  • Strong Finances: The report emphasises the need for a strong financial commitment at UNFCCC COP29 to support adaptation efforts. 
  • Funding models: The report suggests risk finance, resilience bonds, debt-for-adaptation swaps, and ecosystem service payments as alternative funding models. 
  • Reforms: Reforms in international financial institutions could improve access to non-debt-increasing funds. 
  • Transformational change: Capacity-building and technology transfer plans should support adaptation across sectors, scales and development priorities, and build capacity for transformational change. 

Conclusion 

The Adaptation Gap Report 2024 calls for immediate action on adaptation financing and innovative solutions to support developing nations. This report underscores the importance of climate adaptation within the global climate agenda, highlighting the pressing need to bridge the adaptation finance gap, which remains a crucial point for UNFCCC COP29 negotiations. 

Drishti Mains Question

Discuss the main financial and strategic gaps in global climate adaptation efforts identified in UNEP’s 2024 Adaptation Gap Report, and suggest ways to address these challenges.

UPSC Civil Services Examination Previous Year Question (PYQ)

Prelims

Q. With reference to the Agreement at the UNFCCC Meeting in Paris in 2015, which of the following statements is/are correct? (2016) 

  1. The Agreement was signed by all the member countries of the UN, and it will go into effect in 2017. 
  2. The Agreement aims to limit the greenhouse gas emissions so that the rise in average global temperature by the end of this century does not exceed 2ºC or even 1.5ºC above pre-industrial levels. 
  3. Developed countries acknowledged their historical responsibility in global warming and committed to donate $ 1000 billion a year from 2020 to help developing countries to cope with climate change. 

Select the correct answer using the code given below: 

(a) 1 and 3 only 

(b) 2 only  

(c) 2 and 3 only  

(d) 1, 2 and 3 

Ans: (b)

Q. “Momentum for Change: Climate Neutral Now” is an initiative launched by (2018) 

(a) The Intergovernmental Panel on Climate Change 

(b) The UNEP Secretariat 

(c) The UNFCCC Secretariat 

(d) The World Meteorological Organisation

Ans: (c)


Important Facts For Prelims

RBI’s Framework for Reclassification of FPI to FDI

Source: IE

Why in News? 

Recently, the Reserve Bank of India (RBI) introduced a framework to allow foreign portfolio investors to convert their investments to foreign direct investment (FDI). 

What are the Key Highlights of the Framework? 

  • Threshold Crossing: Any foreign portfolio investor investing above 10% of the total paid-up equity has the option of divesting their holdings or reclassifying such holdings as FDI. 
    • FDI is the investment through capital instruments by a person resident outside India. 
      • In an unlisted Indian company or  
      • In 10% or more of the paid-up equity capital of a listed Indian company (Below 10% is considered Foreign portfolio investment (FPI)). 
  • Timely Conversion: The reclassification must be completed within five trading days from the transaction that results in breaching the 10% limit. 
  • Compliance Requirements: FPIs must adhere to reporting obligations under the Foreign Exchange Management (Mode of Payment and Reporting of Non-Debt Instruments) Regulations, 2019 (FEM (NDI) Rules, 2019). 
    • FEM (NDI) Rules, 2019 mandates that investments by non-residents in India must follow entry routes, sectoral caps, or investment limits unless specified otherwise. 
  • Sector Restrictions: Reclassification is not permitted in sectors where FDI is restricted E.g., Gambling and betting, Real Estate Business, Nidhi company (Mutual Benefit Funds Company) etc. 
  • Complementary Measures: It complements a similar update from the Securities and Exchange Board of India (SEBI) which mandates that once an FPI exceeds the 10% equity threshold, it may opt to convert the holdings to FDI.

Note

In order to curb opportunistic takeovers/acquisitions of Indian companies due to the Covid-19 pandemic, Government amended the FDI policy 2017 vide Press Note 3 (2020). 

  • It required entities from countries sharing a land border with India, or whose beneficial owner is from such countries, can only invest in India through the Government route. 
  • For the purpose of Press Note 3, India recognises Pakistan, Afghanistan, Nepal, Bhutan, China (including Hong Kong), Bangladesh and Myanmar as countries sharing land border with India (Bordering Countries). 

What is the Difference Between FDI and FPI?

Parameter FDI (Foreign Direct Investment) FPI (Foreign Portfolio Investment) 
Nature of Investment  Direct investment and business ownership in India by a foreigner.  Indirect investment in financial assets like stocks and bonds.
Investor Role Active role Passive role
Control and Influence High degree of control over management and business operations. No significant control over day-to-day operations of the company. 
Asset Type  Physical assets of the foreign company.  Financial assets like stocks, bonds, and Exchange-Traded Fund (ETF). 
Investment Approach & Time Frame  Long-term approach. It can take years to progress from planning to implementation.  Shorter term than FDIs. It is focused on market-linked gains. 
Motive Securing market access or strategic interests in a foreign country for long-term gains.  Short-term returns and market-linked gains. 
Risk Factor  Generally more stable, but affected by the host country's policies, political environment, and regulations.  Generally more volatile due to fluctuations in asset prices. 
Entry and Exit Entry and exit are difficult.  Entry and exit are easy due to liquidity and wide trading of assets. 

UPSC Civil Services Examination, Previous Year Question 

Q. Consider the following: (2021)

  1. Foreign currency convertible bonds
  2. Foreign institutional investment with certain conditions
  3. Global depository receipts
  4. Non-resident external deposits

Which of the above can be included in Foreign Direct Investments?  

(a) 1, 2 and 3  

(b) 3 only 

(c) 2 and 4  

(d) 1 and 4 

Ans: (a)

Q. With reference to Foreign Direct Investment in India, which one of the following is considered its major characteristic? (2020) 

(a) It is the investment through capital instruments essentially in a listed company. 

(b) It is a largely non-debt creating capital flow. 

(c) It is the investment which involves debt-servicing. 

(d) It is the investment made by foreign institutional investors in the Government securities. 

Ans: (b)


Important Facts For Prelims

QS World University Rankings: Asia 2025

Source: PIB 

Why in News?  

The Quacquarelli Symonds (QS) World University Rankings: Asia 2025 highlights India's growth in higher education, with 2 institutions in the top 50 and 7 in the top 100. This reflects the growing competition of Indian institutions across Asia. 

How is India Performing in the QS Asia Rankings? 

  • Upward Trajectory in Higher Education: India has 2 institutions in the top 50, with Indian Institute of Technology Delhi (IIT-D) ranked 44th and IIT Bombay ranked 48th, underscoring their prominence in Asia's higher education. 
    • Additionally, 5 Indian institutions are in the top 100, IIT Madras (56th), IIT Kharagpur (60th), Indian Institute of Science (62nd), IIT Kanpur (67th), and University of Delhi (81st). 
    • Other Notable Institutions like IIT Guwahati, IIT Roorkee, Jawaharlal Nehru University, Chandigarh University, and Vellore Institute of Technology highlight India's academic excellence, with many of these institutions securing spots in the Top 150 globally. 
  • Key Factors Behind the Rise in India’s Rankings: India's strong performance is driven by high research productivity, with institutions like Anna University excelling in Papers Per Faculty.  
    • A focus on academic excellence is also evident, with many universities boasting high PhD staff, while growing international research networks, like the University of Delhi’s rise in rankings, enhance global recognition.

Implications of the QS University Rankings for India’s Education Sector 

  • Global Recognition: Indian universities' improved rankings enhance their global reputation, attracting international students and faculty. This recognition helps position India as a hub for higher education. 
    • India’s educational sector has grown substantially, with 46 institutions making it to the QS World University 2025, up from just 11 in 2015, marking a 318% increase in the last decade. 
  • Increased FDI: Enhanced educational standards and global recognition can lead to increased Foreign Direct Investment(FDI) in the education sector, boosting the economy and creating more job opportunities. 
  • Improved Academic Standards: The pursuit of higher rankings encourages Indian universities to improve their academic standards, including curriculum development, teaching methodologies, and educational policies like the National Education Policy (NEP) 2020. This leads to a more robust and competitive educational framework. 

Quacquarelli Symonds 

Quacquarelli Symonds (QS) is a London-based global higher education analyst best known for its widely recognized QS World University Rankings. 

  • It assesses universities based on six indicators looking at four broad categories: research reputation, the learning and teaching environment, research impact, and internationalisation. 


Rapid Fire

Antariksha Abhyas 2024

Source: PIB 

Recently, the Defence Space Agency under the Ministry of Defence conducted India's first-ever Space Exercise 'Antariksha Abhyas' in New Delhi. 

  • Objective: Simulating and analysing threats to and from space-based assets and services to secure national strategic objectives in space. 
  • Key Focus Areas: 
    • Enhancing the integration of space capability into military operations. 
    • Providing a better understanding of operational dependencies on space assets. 
    • Identifying vulnerabilities and handling disruptions or denial of space-based services. 
  • Military Use of Space: Armed forces use space capabilities for detecting border infiltration, artillery movements and missile launches. 
  • India’s Capability: In March 2019, India successfully tested an anti-satellite (ASAT) test designed to destroy or disable enemy satellites in orbit under Mission Shakti. 
  • Regulation: According to the Outer Space Treaty of 1967, outer space should be used only for peaceful operations. 
    • The Kármán line, 100 kilometres above mean sea level, is considered the boundary where Earth ends and outer space begins. 

Read More: India Beyond Earth 


Rapid Fire

Gluten

Source: TH 

Gluten, a protein complex primarily found in wheat, barley, and rye, is celebrated for its utility in the food industry but is infamous for causing gluten-related disorders like coeliac disease, a condition affecting around 2% of the population. 

  • Gluten is composed of proteins, mainly gliadins and glutenins, formed when water is added to certain cereal flours. 
    • It provides elasticity to dough, allowing it to rise and imparting chewiness to baked products. 
    • Naturally found, it can be extracted, concentrated, and incorporated into food and other products to enhance protein content, texture, and flavor. 
  • Gluten resists complete digestion due to the enzyme protease being inefficient in breaking it down. Undigested gluten may lead to gastrointestinal disorders. 
    • A protease, also called a peptidase, proteinase, or proteolytic enzyme, is an enzyme that degrades proteins into smaller polypeptides or amino acids. 
  • Coeliac Disease is an autoimmune condition triggered by gluten that damages the small intestine, prompting the immune system to produce a large number of antibodies that attack the body’s own proteins.  
    • Maintaining a diet very low in gluten is the only effective way to treat coeliac disease at present.

Read more: Celiac Disease - Drishti IAS


Rapid Fire

AUSTRAHIND

Source: PIB 

Recently, the 3rd edition of Exercise AUSTRAHIND commenced at the Foreign Training Node in Maharashtra, in November 2024.  

  • The exercise, conducted annually, alternates between India and Australia, aiming to enhance military cooperation and interoperability in joint operations. 
  • The exercise supports joint planning and sub-conventional operations in semi-urban, semi-desert terrain, focusing on counterterrorism, physical fitness, tactical drills, and high-level coordination as mentioned under Chapter VII of the UN mandate 
  • The exercise will be conducted in two phases – combat conditioning and tactical training phase and validation phase. 
  • The Exercise reflects growing defense cooperation under the India-Australia Comprehensive Strategic Partnership (2020). 
  • Other Exercises between India and Australia are AUSINDEX, and PITCHBLACK. 
  • Defence Cooperation between India and Australia: 

Read More: Major Military Exercises of India


Rapid Fire

Global Nature Conservation Index 2024

Source: DTE 

India ranks 176th in the 2024 Global Nature Conservation Index. It is among the five lowest-ranked countries, along with Kiribati (180), Turkey (179), Iraq (178), and Micronesia (177), out of 180 nations. 

  • India’s low ranking is due to inefficient land management and increasing biodiversity threats. 
  • About Nature Conservation Index (NCI): 
    • It is developed by the Goldman Sonnenfeldt School of Sustainability and Climate Change at Ben-Gurion University and BioDB.com, a biodiversity database. 
    • The first NCI was launched in October 2024 to evaluate conservation efforts. 
    • It assesses four key markers: land management, biodiversity threats, capacity and governance, and future trends. 
  • Observation of the NCI: 
    • Sustainable land use is crucial, as 53% of land is converted for urban, industrial, and agricultural purposes. 
    • The index highlights high pesticide use and warns about soil pollution,
    • Marine conservation needs improvement, with only 0.2% of national waterways protected and none within India's Exclusive Economic Zone (EEZ).
    • India ranks as the fourth-largest illegal wildlife trading nation globally, with annual sales totaling approximately 15 billion Euros.
    • Deforestation resulted in the loss of 23,300 sq. km of tree cover between 2001 and 2019.
    • India's ecological wealth is constantly threatened by overpopulation.

Read More: Environmental Performance Index 2024


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