Current Affairs Compilations for UPSC IAS Prelims 2022

Mains Oriented Articles

GS Paper 2

• Travel and tourism is poised for its own Amrit Kaal
• The days after Women’s Day: Integrate women cops as leaders in the police force
• Stopping the boats: On the U.K.’s new ‘Illegal Migration Law’

GS Paper 3

• Industrial policy learnings from a Soviet model versus Japanese
• The ideal track to run India’s logistics system
• Can the cheetahs help India’s grasslands?
• Old Pension System will take from the poor and give to the rich
• About improving financial inclusion: Breaking barriers, building inclusion

Prelims Oriented Articles (Factly)

• Har Payment Digital Mission: RBI initiates 75 digital villages programme
• Rise in temperature leads to forest fire in Andhra’s Nallamala forest
• Long­lost moth species caught on camera in T.N. forest
• World to miss goal on cutting sodium intake, says WHO
• Antibiotic drugs administered on livestock cut carbon in soil and affect climate, says IISc study
• Centre to reconsider ‘safe harbour’ clause in IT law
• Finance Ministry brings crypto assets under Prevention of Money Laundering Act: What are the implications?
• ‘Politically exposed persons’ brought under new PMLA rules, more disclosures for NGOs
• ISRO successfully carries out controlled re-entry experiment of MT-1 satellite
• India a top-tier security partner, open Indo-Pacific is our need: Australia PM

Mains Oriented Articles

GS Paper 2

Travel and tourism is poised for its own Amrit Kaal

News– India’s travel and tourism sector will be the key axis of development in the coming years. Budget 2023 has outlined the path to developing tourism in mission mode.

The tourism sector accounts for 10% of the total employment directly andprovides 8% of the overall GDP.

What are the efforts by the Indian government for the growth of tourism?

The Budget Session addressed all the “6Ps” effectively by covering destination planning and management, infrastructure development, sustainability and safety, development of human capital, policy, and process interventions to align the Centre and states, and promoting the narrative of Indian tourism.

The Union budget has listed six themes for the development of the sector — convergence, public-private participation, creativity, innovation, digitisation and development of destinations.

Tourism remains a state subject. The central tourism department is making efforts to move it to the Concurrent List. The idea of a National Tourism Board is under consideration by the government.

Prime Minister Modi has a vision to develop 50 destinations across the country.

What is the way forward for the growth of the tourism industry in India?

There is a need for collaboration between the government, private sector, and local communities in developing and promoting tourism. It stimulates creativity, enhances competitiveness.

Technology adoption will help in the growth of tourism. Travel experiences are becoming more personalised, immersive, and interactive.

AR/VR can help travelers explore destinations before they even arrive. It can providevirtual tours and simulations of famous landmarks, historical sites, and cultural experiences. AI-powered chatbots and digital assistants can help travelers plan their trips, recommend personalized activities, and offer real-time assistance while traveling.

A coordinated approach boosted by the adoption of technology resolves the issue of low spending by foreign tourists in India. On average, foreign tourists spend 33% less than they would in the US.

The tourism sector requires a comprehensive strategy that addresses the six key pillars of planning, place, people, policy, process, and promotion.

Granting tourism infrastructure status will provide further impetus to the growth of the sector.

The days after Women’s Day: Integrate women cops as leaders in the police force

News– Gender empowerment has been a popular theme in India and some tangible policy decisions have indeed been made. Increasing representation of women in uniform services is one such initiative.

What are the issues faced by women in uniform?

Crime against women is very high with an abysmal rate of conviction. Public spaces are still unsafe, especially after dark. It curtails their free movement. Thus, it adversely affects their working hours and employment avenues.

In most states, there is absence of in-service training after their induction. Female police officers are expected to investigate crimes against women and cases under POCSO Act. But, in many states, they have not received any specialised training for the same.

A study at the Centre for Police Research during 2015-16 showed that the number of women is increasing in Maharashtra Police. But women officers do not receive the required cooperation from male colleagues.

Another area of concern is the hostility faced by women police officers during pregnancy and post their maternity leave.

What is the way forward to improve the situation of women in uniform services?

Policy alone is not sufficient to strengthen the position of women in uniform. There has to be commitment from the field-level leadership too.

Coaching in communication skills and fruitful negotiations during public disorder is needed. It can help them deal with the different types of conflicts they face.

Women officers can work on their time management skills, financial literacy and networking to attend to diverse professional and personal responsibilities.

Local law colleges and universities can be approached to understand the latest amendments and provisions of law.

It is important to sensitise men on women in police stations and the need to respect them as professional colleagues instead of resenting their presence.

The concept All Women Police Stations needs relook. There is a need for inclusive police stations where complainants, irrespective of gender, will get prompt redressal of their grievances.

A standard police station must reflect the healthy gender ratio of society. Its main objectives are prevention and detection of crime and maintenance of public order.

The idea that women police can do justice to the issues of women needs to be discarded now. Women have proved competent to deal with complex issues while men have proved to be compassionate and empathetic to women victims.

Confining them to All Women Police Stations or investigating offenses against women and children is a gross under-utilisation of their wide-ranging capabilities. It is also unjust for women victims who are made to travel long distances in search of AWPSs.

Menstruation and child-bearing stages in a woman’s career should also be accepted naturally without casting aspersions on their capabilities. This requires sensitivity. The department should construct rest rooms, changing rooms and creches for them.

Stopping the boats: On the U.K.’s new ‘Illegal Migration Law’

News: Recently, the United Nations High Commissioner for Refugees (UNHCR) has severely criticised the U.K. Prime Minister’s plan to pass a new “Illegal Migration Law”. This is because the planned law effectively stops the granting of asylum to migrants who reach the U.K. illegally.

What is the reason behind UK’s new ‘Illegal Migration Law’?

The UK government is worried that many number of persons are attempting to travel to the U.K. and trying to apply for asylum while on British soil. This according to the UK government is costing significant cost to the exchequer.

Hence, the new law aims to return illegal asylum seekers to either return to their own country or to a “third country” which will enter an agreement with the UK. For instance, Rwanda has entered into an agreement to provide processing facilities for illegal migrants.

Illegal immigrants will also face a lifetime ban on citizenship and re-entry to the U.K.

Exceptions: The Bill makes exceptions for those arriving directly from the countries they are fleeing. But such people will be a small proportion given the short distances “small boats” could travel.

What are the challenges in implementing the UK’s new ‘Illegal Migration Law’?

According to the UNHCR, a) the law would contravene international laws, including the 1951 Refugee Convention that Britain is a signatory, b) Those who flee their homes and countries often do so without proper paperwork, as they are forced to leave to save their lives. So, there are problems in identifying their source countries, c) An estimated 45,000 came to the U.K. on “small boats” last year. They would have been economic refugees rather than political asylum seekers. But, the British government does not make a distinction between the two, d) The Bill is like the U.S administration that latched on to the equally catchy “Build That Wall” slogan, e) The plan to transport asylum seekers to a third country highlights neo-colonialism and will involve considerable cost which migrants are unlikely to be able to afford,

What the western countries should focus on while enacting Illegal Migration Laws?

Introspect their message: Western countries have long quoted international law and convention to India on its plan to forcibly deport Rohingya refugees to Myanmar, or to discriminate on the basis of religion in the Citizenship (Amendment) Act. Hence, they must introspect on their message to the world by enacting such laws themselves.

Does not belittle the real contributions of immigrants: Western countries should value the significant contributions made by immigrants to western societies. Including those like the parents of UK’s present PM and UK’s Home Secretary, who made their journey from Africa.

GS Paper 3

Industrial policy learnings from a Soviet model versus Japanese

News– The governments of most of the economically advanced countries are now pivoting towards more interventionist policy. They are promoting investments in preferred sectors through a combination of domestic subsidies as well as import tariffs.

What are arguments in support of policy interventions by the government in the economy?

First, the desire to build some element of strategic autonomy in a more geopolitically fragile world.

Second, the need to help in rapid transition to a green economy before climate change does more damage.

Third, the attempt to reduce dependence on a single supplier or a single source of export demand.

What were the debates related to the development model to be followed by India after independence?

Early Indian nationalists of all hues agreed that the state should play an active role in driving economic development after independence. Though there were differences in the details.

In 1950, the two most important models to follow were those of Japan and the Soviet Union.

India ultimately adopted the Soviet model. It was based on Mahalanobis’ strategy.

Why do some economists argue that India should have adopted the development path chosen by Japan after the Meiji Restoration in 1868?

Japan at the time of the Meiji Restoration had crucial features that made it the best economic model for India.

Japan had focused on higher farm productivity, the rapid expansion of primary education, and an early focus on export markets to accelerate industrial expansion. By the 1920s, Japan was in the ranks of the world’s industrialized countries.

India’s First Five-Year Plan also mentioned the Japanese experience as a way forward. Even Jawaharlal Nehru saw the benefits of the Japanese strategy,

The Mumbai economists C.N. Vakil and P.R. Brahmananda were critical of Nehru-Mahalanobis strategy. They argued that India should focus its development strategy on the production of wage goods rather than heavy industry, like what the Japanese did.

How was the Japanese development strategy different from the one that the Soviet Union followed in three ways?

Japan built industrial capacity with private rather than public investment. The sectoral focus was on light rather than heavy industry. Rapid productivity growth on small farms owned by families released female workers for industrial work.

Since all industrial progress in Japan has been achieved in comparatively recent years, it offersIndia the most direct and valuable lessons in reconstruction.

What are arguments against the wage goods model?

While the wage goods model outperforms the Mahalanobis model in the short run.the growth rates converge over a longer period of 40 years.

This is under the unrealistic assumption of a very highinitial savings rate. With more realistic savings at the beginning, the Mahalanobis model actually outperforms the wage goods model.

The ideal track to run India’s logistics system

News: The Union Budget 2023 has doubled the PM Gati Shakti National Master Plan to States from ₹5,000 crore to ₹10,000 crore, and has announced an outlay of ₹2.4 lakh crore for the Indian Railways.

This will help Railways to play an important role in enabling a coordinated and integrated logistics system.

What is the preferable mode of logistic transport in India at the present?

At present, 65% of freight movement is done by road transport due to the convenience roads offer for logistic movements.

However, this has also increased the burden on roads with increased pollution and high logistic costs (almost twice that of railways).

Therefore, it is necessary to adopt railways as a mode for cargo movement. This will improve India’s logistics competitiveness. 

How are the Indian Railways’ logistics services compared with the world?

Globally, countries are heavily investing in advanced rail infrastructure for quick and low-cost container movement.

For example, China uses special trains to carry containers that connect significant ports and has dedicated rail lines to move container traffic and planned double-decker container carriages for greater efficiency.

The Indian Railways are also upgrading their infrastructure through the PM Gati Shakti National Master Plan. However, these are significantly lower than other countries such as the United States and China.

What are the problems faced by the Railways in its freight services?

First, the increased transit time by rail and pre-movement and post-movement procedural delays freight movement by rail.

Second, the railways also lack necessary terminal infrastructure, maintenance of good sheds and warehouses, and uncertain supply of wagons.

Third, the absence of integrated first and last-mile connectivity by rail increases the chances of damage due to multiple handling and also increases the inventory holding cost.

What can be done to improve freight service by the Railways?

First, it needs to improve infrastructure with proper policy tools.

Second, private participation in the operation and management of terminals, containers, and warehouses can be encouraged.

Third, a special entity can be established under the railways to handle intermodal logistics in partnership with the private sector. This will help in addressing the first and last-mile issue faced by the railways. 

The entity could function as a single window for customers for cargo movement and payment transactions.

Fourth, the railways can introduce an Uber-like model for one of the two cargo wagons, attached to each passenger train. This will enable customers to book the wagon using an online application.

This could directly increase freight traffic without any additional investment in infrastructure.

Can the cheetahs help India’s grasslands?

News: Government is trying to re-introduce cheetahs in India by bringing them from Namibia and South Africa.

Madhya Pradesh’s Kuno National Park has been chosen as the site for the re-introduction of cheetahs. The article discusses the several aspects of survival of cheetahs in India.

How long will it take for cheetahs to adapt in the Indian climate?

Cheetahs have come from a very different terrain to India. Therefore, it might take time to adapt in the Indian climate.

Moreover, it is not only the adaptation to climate that will determine the success of reintroduction of cheetahs to India.

The factors such as reproduction and a self-sustaining population also plays a role in determining the survival of cheetahs in India.

Further, Cheetah Action Plan states that in 15 years the project will be considered a success if Kuno reaches an established population of 21 adults.

Can the reintroduction of cheetahs help in improving India’s grasslands?

India doesn’t have vast savannah grasslands like Africa from where the cheetahs are coming. There are only six or seven savannah types of grasslands present in India.

Therefore, the healthier population of cheetahs will indicate improving grasslands in India because they mostly prefer to prey in these grasslands.

However, it will take 30-40 years for the cheetah to reach a population of 20-40 animals. Therefore, it becomes difficult to say that Indian grasslands will improve with the re-introduction of cheetahs in India.

Will re-introduction of cheetahs contribute to the development of a larger ecosystem?

As it has been seen in the case of tigers, there has been a remarkable increase in the tiger reserves from 9 to 53. Therefore, it is expected that reintroduction of cheetahs will also help in the improvement of the ecosystem.

However, when we look at the animal’s habitat, it becomes difficult to say that it will improve the ecosystem because cheetahs are the weakest of the large cats.

They exist at low densities of less than one per 100 sq km. 8-10 cheetahs can be hosted in an area of 750 sq km which is a smaller number.

Therefore, it is not feasible to say that re-introduction cheetahs will help in the development of a larger ecosystem.

Moreover, the government is planning to promote eco-tourism with the re-introduction of cheetahs.

Is it feasible to promote ecotourism and conservation together?

Eco-tourism along with conservation can be promoted. However, there is also a need to address the challenge associated with it because there have been experiences that people over do it.

Ecotourism helps in generating employment for the locals, but any tourism plan must be community driven.

Old Pension System will take from the poor and give to the rich

News– Recently, the return to the Old Pension System has been proposed by sections.

What are some facts about OPS and NPS?

OPS is a “pay-as-you-go” scheme. The contributions of current government employees are used to fund the pension liabilities of past government employees. In OPS, the employees are guaranteed an amount equivalent to 50% of their last salary in perpetuity.

NPS was established by the NDA government in 2003. It is a defined contribution scheme. The employees invest a certain fraction of their salary that is complemented by a contribution from the government.

What are the arguments against OPS?

It will have fiscal implications. The only way the OPS can be made sustainable is by either having more government employees or by more borrowing. More employees will lead to inefficiency in governance.

States’ finances will be crippled under the pension burden. A recently released report by the Reserve Bank of India on states’ finances provides a detailed breakdown of states’ expenditures on pensions.

In Rajasthan, the state’s expenditure on pensions as a percentage of its own tax revenues is 28%. In contrast, for example. In Maharashtra, the same percentage is 14%.

States will have to cut down their expenses. Expenses on health, education, and other long-term assets will naturally be the first ones to go.

The losers will be the majority of poor people who will be denied basic services and support from the state. The winners will be the minority of wealthy government employees.

This is a rare example of a policy that explicitly takes away the wealth of the poor to distribute it to the rich. The retiring government employees are amongst the top 5% of income earners in India.

Finally, the sixth and the seventh pay commissions revised the salaries of government employees upwards assuming that they would be under NPS. Therefore, any switch to OPS now is a breach of trust of all citizens.

How can OPS make political sense?

There can be two explanations. One benign, and one disturbing.

Benign explanation– Freebies are not mutually exclusive. Parties desperate to win elections are promising everything to everyone. In the short run, they may even fulfil their promise. Finally, they will cut down on expenditures such as defence, healthcare.

If the current dispensation at the Centre is re-elected, opposition parties will inherit an even better fiscal situation when they eventually come back to power.

Parties may also have miscalculated the political costs and benefits of OPS.

Disturbing explanation– The Opposition has realised that the main obstacle in its quest for power at the Centre is the last-mile delivery of welfare schemes.

The success of these schemes eventually rests on the ability of the lowest layer of government employees to deliver these schemes. OPS may incentivise government employees to sabotage these welfare schemes.

About improving financial inclusion: Breaking barriers, building inclusion

News: According to the latest Findex Report by the World Bank, around one-third of adults still lack access to formal financial services. It means approximately 1.7 billion people worldwide are unbanked.

About the potential of financial inclusion

-Financial inclusion has been linked to up to 14% growth in the gross domestic product in developing economies.

-Women affected disproportionately: Only 47% of women hold a bank account, as opposed to 55 per cent of men.

-Financial inclusion and a sustainable digital economy are two critical components of achieving Sustainable Development Goals (SDGs) and reducing poverty.

What are the critical challenges while developing financial inclusion?

a) Ensuring digital identity systems might infringe on individuals’ privacy rights, b) Digital banking systems might not be fair and inclusive to all income or socio-economic status groups, c) Promoting a digital public good which can be sustainable and accessible is also a challenge.

How India’s G-20 presidency helps in improving financial inclusion?

Firstly, the theme of India’s G20 Presidency, “Vasudhaiv Kutumbakam,” underlines the message of equitable growth and a shared future for all.

Secondly, the G20 Global Partnership for Financial Inclusion working group met in Hyderabad under the grouping’s Global Partnership for Financial Inclusion (GPFI) initiative.

Note: The GPFI aims to advance financial inclusion as an essential enabler for reducing poverty and promoting economic growth, potentially improving people’s lives worldwide. This initiative works closely with other international organisations.

Thirdly, the G20 Financial Inclusion Action Plan (FIAP) aims to prevent future economic crises by encouraging conditions that promote its objectives of financial inclusion and stability. Four major drivers have been highlighted in the new G20 FIAP to lay the groundwork for further progress toward financial inclusion.

These are, a) the acceptance of the 2030 Agenda for sustainable development as a worldwide framework for sustainable development, b) rapid development and penetration of digital breakthroughs, c) greater emphasis on underprivileged populations’, and d) mainstreaming financial inclusion.

What should be done for improving financial inclusion?

A multifaceted strategy is needed to create an inclusive and sustainable digital economy.

Focus on digital identification, banking, payments, and regulation: This will provide opportunities to enhance global economic stability and streamline service delivery. Digital banking should focus on promoting stability, transparency, fairness, inclusivity, and interoperability.

Focus on Digital identity systems: These include India’s Aadhaar and national ID schemes in Morocco and the Philippines. These systems help to streamline the delivery of services and payments.

Create a digital stability board: This will aid in advancing digital regulation by supporting better data-sharing legislation and data management for individuals and small- and medium-sized businesses.

Adaptation of laws and institutions to the digital revolution: Adaptation is required especially in areas such as competition policy, regulatory regimes, innovation ecosystems, workforce development, social protection frameworks, and tax policies.

Promote sustainability and inclusivity in the digital economy: These can be done by a) establishing a supportive and enabling e-commerce environment, b) developing inclusive digital infrastructure, c) adapting policies and institutions to digital transformation, d) harnessing digital transformation inclusively, and e) using digital public goods.

Make financial inclusion a top priority for G20 countries: The G20 working group should consider strategies to strengthen the financial system’s foundation, facilitate remittance flows, and lower the price of remittance transfers.

Along with the above measures, global nations should also focus on collaborating with international organisations to unlock the potential of millions of individuals and communities and foster sustainable, inclusive economic growth.

Prelims Oriented Articles (Factly)

Har Payment Digital Mission: RBI initiates 75 digital villages programme

Source: The post is based on the article “RBI initiates 75 digital villages programme” published in the Indian Express on 7th March 2023.

What is the News?

The Reserve Bank of India (RBI) has launched the ‘Har Payment Digital’ mission during Digital Payments Awareness Week (DPAW) 2023.

About Har Payment Digital Mission

Under this, the payment system operators (PSOs) will adopt 75 villages across the country and conduct two camps in each of these villages. This is to convert them into digital payment-enabled villages in observance of 75 years of independence.

Note: PSOs (currently there are 67 PSOs) are entities authorised by RBI to set up and operate a payment system.

Aim: To improve awareness and onboard merchants for digital payments.

Significance: The Har Payment Digital campaign aims at reinforcing the ease and convenience of digital payments and facilitating the onboarding of new consumers into the digital fold.

Rise in temperature leads to forest fire in Andhra’s Nallamala forest

Source: The post is based on the article “Rise in temperature leads to forest fire in Andhra’s Nallamala forest” published in The New Indian Express on 6th March 2023.

What is the News?

Nallamala forest is witnessing frequent forest fires due to rising temperatures, where the day temperature is almost touching 40 degrees Celsius. According to the available data, 10-15 man-made fires are recorded on average at various parts in each division in a day during every summer season.

About Nallamala forest

It is one of the largest stretches of undisturbed forest in South India, apart from the Western Ghats.

Location: It is spread over five districts of Andhra Pradesh and Telangana. It is located in Nallamala Hills, which is a part of the Eastern Ghats.

Climate: It has a warm to hot climate throughout the year.

Vegetation: Tropical dry deciduous.

Significance:

-It harbors endemic species like Andrographis nallamalayana and Eriolaena lushingtonii.

-The forest has a significant tiger population. A part of the forest belongs to the Nagarjunsagar-Srisailam Tiger Reserve, the largest tiger reserve in the country.

Long­lost moth species caught on camera in T.N. forest

Source: The post is based on the article “Long­lost moth species caught on camera in T.N. forest” published in The Hindu on 10th March 2023

What is the News?

Researchers from Tamil Nadu have spotted a rare moth species for the first time in India named “Mimeusemia ceylonica” in the buffer zone of the Kalakkad–Mundanthurai Tiger Reserve (KMTR).

This moth species was last sighted 127 years ago — at Trincomalee in Sri Lanka in 1893.

What is Mimeusemia ceylonica?

Mimeusemia ceylonica is a moth species belonging to the subfamily Agaristinae and family Noctuidae.

It was first illustrated and described by Hampson in 1893 from Sri Lanka from the collections of moths in the British museum. 

The species has been rediscovered after 127 years during a moth survey conducted in the year 2020 at the Agasthyamalai Community-based Conservation Centre (ACCC) situated in the buffer zone of Kalakad Mundanthurai Tiger Reserve (KMTR). 

This is the first record of the species from Tamil Nadu, India.

What is Kalakad Mundanthurai Tiger Reserve?

Kalakad Mundanthurai Tiger Reserve is located in the South Western Ghats in Tamil Nadu.

It forms part of the interstate Agasthyamalai Biosphere Reserve. 

It includes three sanctuaries, viz. Kalakad, Mundanthurai and part of Kanyakumari Sanctuary, with portions of Tirunelveli forest division of the State.

Significance: The Kalakad Mundanthurai Tiger Reserve, along with the Periyar Tiger Reserve of Kerala, constitute the southernmost tiger ranges of the Western Ghats in South India. Thus, they are high-priority areas for global biodiversity conservation efforts. 

World to miss goal on cutting sodium intake, says WHO

Source: The post is based on the article “World to miss goal on cutting sodium intake, says WHO” published in Livemint on 10th March 2023.

What is the News?

The World Health Organization(WHO) has released a report titled “Global report on sodium intake reduction”.

What are the key findings of the report?

Sodium, an essential nutrient, increases the risk of heart disease, stroke and premature death when consumed in excess.

The main source of sodium is table salt (sodium chloride) but it is also a part of other condiments such as sodium glutamate which is naturally found in some foods and is also used as a flavour enhancer.

Implementing highly cost-effective sodium reduction policies could save an estimated 7 million lives globally by 2030.

Progress on reducing sodium intake: The World is off-track to achieve its global target of reducing sodium intake by 30% by 2025.

– The global average salt intake is estimated to be 10.8 grams per day, more than double the WHO recommendation of fewer than 5 grams of salt per day (one teaspoon).

– Currently, only 5% of WHO member states are protected by mandatory and comprehensive sodium reduction policies and 73% of members lack the full range of implementation of such policies.

– India has a mandatory declaration of sodium on pre-packaged food but no other mandatory measure.

Recommendations: A comprehensive approach to sodium reduction includes adopting mandatory policies and WHO’s four “best buy” interventions related with sodium which greatly contribute to preventing non-communicable diseases. These include:

– Reformulating foods to contain less salt, and setting targets for the amount of sodium in foods and meals.

– Establishing public food procurement policies to limit salt or sodium-rich foods in public institutions such as hospitals, schools, workplaces and nursing homes.

– Front-of-package labelling that helps consumers select products lower in sodium.

– Behaviour change communication and mass media campaigns to reduce salt/sodium consumption.

Antibiotic drugs administered on livestock cut carbon in soil and affect climate, says IISc study

Source: The post is based on the article “‘Antibiotic drugs administered on livestock cut carbon in soil and affect climate, says IISc study” published in The Hindu on 10th March 2023.

What is the News?

Researchers at the Centre for Ecological Sciences(CES), Indian Institute of Science (IISc), have found that grazing by livestock leads to lower carbon storage in soil compared to grazing by wild herbivores.

About the study

A study was conducted to compare the characteristics of livestock such as sheep and cattle with their wild relatives such as the yak and ibex in terms of their respective impact on soil carbon stocks.

The researchers found that grazing by livestock leads to lower carbon storage in soil compared to grazing by wild herbivores.

This difference appears to be due to the use of veterinary antibiotics such as tetracycline on livestock.

The researchers said that when released into the soil through dung and urine, these antibiotics alter the microbial communities in the soil in ways that are detrimental to sequestering carbon.

Significance of this study: This study highlights connections among human land use, antibiotics, microbes, soils and climate change.

Centre to reconsider ‘safe harbour’ clause in IT law

Source: The post is based on the article “‘Centre to reconsider ‘safe harbour’ clause in IT law” published in The Hindu on 10th March 2023.

What is the News?

The Government of India has presented the formal outline of the Digital India Act, 2023 where the government is planning to review the “Safe harbour” provision for internet intermediaries.

This bill is a proposed successor to the decades-old Information Technology Act, of 2000.

What is Safe Harbour?

Safe harbour is prescribed under Section 79 of the IT Act,2000.

It is a legal immunity that online intermediaries enjoy against content posted by users on their platforms. This is available as long as these platforms abide by certain due diligence requirements, such as censoring content when asked by the government or courts

This concept originally came from Section 230 of the United States’ Communications Decency Act, which has been termed one of the “foundational laws behind the modern Internet”.

Safe harbour has been reined in recent years by regulations such as the Information Technology Rules, 2021 which require platforms to take down posts when ordered to do so by the government or when required by law.

Why is the government reviewing the concept of Safe Harbour?

The idea behind revisiting the concept of the safe harbour has stemmed from the fact that in the two decades since the Information Technology Act was formulated, intermediaries have become more complex.

Owing to this complexity, there is a need to classify different types of intermediaries and form relevant regulations for each of them.

Finance Ministry brings crypto assets under Prevention of Money Laundering Act: What are the implications?

Source: The post is based on the article “‘Finance Ministry brings crypto assets under Prevention of Money Laundering Act: What are the implications?” published in Indian Express on 10th March 2023.

What is the News?

The Finance Ministry has notified that crypto or virtual asset businesses will now be in the ambit of the Prevention of Money Laundering Act, 2002 (PMLA).

What is the notification issued by the Ministry of Finance?

The Ministry of Finance has issued a circular bringing transactions involving crypto assets under the Prevention of Money Laundering Act. 

It laid out the nature of transactions to be covered under PMLA. These are as follows: 1) Exchange between virtual digital assets and fiat currencies, 2) exchange between one or more forms of virtual digital assets, 3) transfer of virtual digital assets, 4) safekeeping or administration of virtual digital assets or instruments enabling control over virtual digital assets, 5) participation in and provision of financial services related to an issuer’s offer and 6) sale of a virtual digital asset.

The circular also requires Indian crypto exchanges to report any suspicious activity to the Financial Intelligence Unit-India (FIU-IND). 

It also mandates that crypto exchanges and intermediaries dealing with virtual digital assets (VDAs) must have proper KYC documentation for all customers they onboard.

What is the significance of this circular?

The measure is expected to aid investigative agencies in carrying out action against crypto firms. The Enforcement Directorate and Income Tax Department have either probed or are probing several cases against companies running cryptocurrency exchanges and transactions. ED, for instance, froze the bank balances of the popular WazirX exchange in 2022.

What are the concerns against this circular?

There are concerns that the circular does not offer entities time to adhere to the fresh norms. The industry is also concerned that in the absence of a central regulator, crypto entities could end up dealing directly with enforcement agencies like the ED.

What is the legal status of crypto in India?

In the Union Budget 2022-23, even though the government brought in a tax for cryptocurrencies, it did not proceed with framing regulations. 

In April 2022, India introduced a 30% income tax on gains made from cryptocurrencies. In July 2022, rules regarding 1% tax deducted at source on cryptocurrency came into effect.

‘Politically exposed persons’ brought under new PMLA rules, more disclosures for NGOs

Source: The post is based on the article “‘Politically exposed persons’ brought under new PMLA rules, more disclosures for NGOs” published in Indian Express on 10th March 2023.

What is the News?

The Finance Ministry has amended money laundering rules to incorporate more disclosures for non-governmental organizations by reporting entities like financial institutions, banking companies or intermediaries. 

In addition, it has defined politically exposed persons(PEPs) under the Prevention of Money Laundering Act(PMLA) in line with the recommendations of the Financial Action Task Force(FATF).

What are the key changes brought in by the Finance Ministry?

Defined PEPs under PMLA: The rules define “Politically Exposed Persons(PEPs)” as individuals who have been “entrusted with prominent public functions by a foreign country, including the heads of States or Governments, senior politicians, senior government or judicial or military officers, senior executives of state-owned corporations and important political party officials”. 

– For these PEPs, banks will need to maintain records on the nature and value of transactions.

– This move to define PEPs under PMLA is to bring uniformity with a 2008 circular of the Reserve Bank of India (RBI) for KYC norms/anti-money laundering standards for banks and financial institutions which had defined PEPs in line with FATF norms.

Beneficial owners: The rules have lowered the threshold for identifying beneficial owners by reporting entities, where the client is acting on behalf of its beneficial owner, in line with the Companies Act and Income-tax Act.

– The term ‘beneficial owner’ was defined to mean ownership of or entitlement to more than 25 % of shares or capital or profit of the company, which has now been reduced to 10% thereby bringing more indirect participants within the reporting net.

NGOs: The reporting entities are now required to register details of the client if it’s a non-profit organisation on the DARPAN portal of NITI Aayog. 

– The due diligence documentation requirements which were until now limited to obtaining the basic KYCs of clients such as registration certificates, PAN copies and documents of officers holding an attorney to transact on behalf of the client have now been extended.

– It now includes submission of details such as names of persons holding senior management positions, names of partners, names of beneficiaries, trustees, settlers and authors, details of the registered office address and principal place of business among others.

ISRO successfully carries out controlled re-entry experiment of MT-1 satellite

Source: The post is based on the article “ISRO successfully carries out controlled re-entry experiment of MT-1 satellite” published in The Hindu on 10th March 2023

What is the News?

The Indian Space Research Organisation(ISRO) has successfully carried out the controlled re-entry experiment for the decommissioned Megha-Tropiques-1(MT-1) satellite.

What is the Megha-Tropiques-1 satellite?

Megha-Tropiques-1 was a joint mission developed by ISRO and the French space agency, CNES, for tropical weather and climate studies. 

The satellite was launched into Low Earth Orbit (LEO) in 2011.

The mission was initially planned to operate for three years but it was extended later as it continued to deliver key data about the climate for a decade.

Why has ISRO brought down the Megha-Tropiques-1 satellite?

ISRO has brought down the Megha-Tropiques-1 satellite as part of its commitment to the United Nations Inter-Agency Space Debris Coordination Committee (UNIADC) following the end of the mission life. 

The UN guidelines state that at its end-of-life the satellite should be deorbited, preferably through controlled re-entry to a safe impact zone or by bringing it to an orbit where the orbital lifetime is less than 25 years.

India a top-tier security partner, open Indo-Pacific is our need: Australia PM

Source: The post is based on the article “‘India a top-tier security partner, open Indo-Pacific is our need: Australia PM” published in Indian Express on 10th March 2023.

What is the News?

The Australian Prime Minister is on a visit to India.

About India-Australia Cooperation in different sectors

Economic cooperation: The Economic Cooperation Trade Agreement (ECTA) — the first free trade agreement signed by India with a developed country in a decade — entered into force in December 2022.

– This has resulted in an immediate reduction of duty to zero on 96% of Indian exports to Australia in value (that is 98% of the tariff lines) and zero duty on 85% of Australia’s exports (in value) to India.

– Bilateral trade was US$ 27.5 billion in 2021; with ECTA, there is potential for it to reach around US$ 50 billion in five years.

People-to-people ties: India is one of the top sources of skilled immigrants to Australia. As per the 2021 Census, around 9.76 lakh people in Australia reported their ancestry as Indian origin, making them the second-largest group of overseas-born residents in Australia. 

Education: The Mechanism for Mutual Recognition of Educational Qualifications (MREQ) was signed in March 2023. This will facilitate the mobility of students between India and Australia. 

– Deakin University and the University of Wollongong are planning to open campuses in India. 

– More than 1 lakh Indian students are pursuing higher education degrees in Australian universities, making Indian students the second-largest cohort of foreign students in Australia.

Defence cooperation: The 2+2 Ministerial Dialogue was held in September 2021 and the Deputy Prime Minister and Defence Minister of Australia visited in June 2022. 

– The Mutual Logistics Support Agreement (MLSA) was concluded during the Virtual Summit in June 2020 and the two militaries held several joint exercises in 2022. 

– Australia will host military operations with India, Japan, and the US in the “Malabar” exercises off the coast of Perth in August and has invited India to join the Talisman Sabre exercises later this year.