Brief of newspaper articles for the day bearing
relevance to Civil Services preparation
- GS PAPER 1
- Call to name Sabarimala an international pilgrim centre {Art and Culture}
- GS PAPER 2
- The Hiroshima touchstone {International Relations}
- A learning curve on school choice {Governance}
- Not-so-cold war {Foreign Policy}
- Going beyond the ambit {Polity}
- GS PAPER 3
- Core sector grew 8.5 per cent in April {Economy}
- ‘Don’t make binding concessions for APEC’ {Economy}
- Don’t write off payments banks {Indian Economy}
- Fiscal flexibility: Will a global rethink favour India? {Indian Economy}
GS PAPER 1
[1] Call to name Sabarimala an international pilgrim centre
News
- Travancore Devaswom Board (TDB) president Prayar Gopalakrishnan has said that Sabarimala should be declared an international pilgrimage centre.
- He said the TDB was making efforts to bring in a proper system in the functioning of the temple administrative body.
- He said that an online booking facility for performing ‘archana’ at all major temples under the TDB was being planned.
- Computerisation for coordinating the functioning of temples and converting educational institutions run by the TDB into centres of excellence would also get priority.
GS PAPER 2
[1] The Hiroshima touchstone
Context
71 years after the nuclear bombs were dropped on Hiroshima and Nagasaki (1945), Barack Obama becomes the first serving US President to visit Hiroshima
Background: What happened in 1945?
The United States, with the consent of the United Kingdom as laid down in the Quebec Agreement, dropped nuclear weapons on the Japanese cities of Hiroshima and Nagasaki in August 1945, during the final stage of World War II. The two bombings, which killed at least 129,000 people, remain the only use of nuclear weapons for warfare in history.
Why no visits earlier and Why a visit now?
All the US Presidents before Obama have avoided visiting the affected areas in Japan because they wanted to avoid the most significant controversy of rendering an apology to Japan for the attacks. However, President Obama has clearly stated that there would be no apology rendered for the 1945 decision.
Yet his gesture of visiting Hiroshima and meeting the atomic bomb survivors was a symbol of moral redemption.
But has anything really changed in the Nuclear legacy of US over the period of time?
- US and specifically President Obama has often talked about the change in thinking about the role of Nuclear weapons. He had also laid a vision of a world free of nuclear weapons but all these have merely turned out to be a lip service when in reality US has plans to spend $1 trillion for modernisation of its nuclear inventory in the coming three decades.
- US has also maintained the right of first use of nuclear weapons even though it has promised to do so in extreme circumstances.
This reflects that US itself is unwilling to dilute its nuclear use stance.
What areas did his visit touch upon?
- While visiting Hiroshima Obama revisited his nuclear disarmament agenda and mentioned that the nuclear technology is in dire need of a moral revolution i.e. nuclear technology should be used morally and not for muscle flexing and destruction like it was used in World War II.
- He again outlined his vision of having a world without nuclear weapons.However, there were no concrete proposals on how to achieve this.
- President Obama also stated that the nuclear programme by Democratic People’s Republic of Korea (4 nuclear tests already conducted) and the deployment of nuclear weapons by Pakistan are most worrying with respect to the global nuclear threat.
Significance of such visits in today’s world
Scenarios have changed today when compared to the era of World War and Cold War.
- Today there are a number of nuclear players and because of the non-uniformity in their policies and doctrines, the security threat always lingers.
- However, there is a hope that such visits would help in bringing out certains rules and norms against the use of nuclear weapons if not complete nuclear abolition.
- Such visits would also help in breaking down the myths that nuclear armament is necessary to assert domination .
Conclusion
It needs to be taken care that such visits must not only be reduced to a symbolic gestures or tokenism. The visions and the statements defined during such visits must be followed by proper implementation at the national level. Infact, US could itself become a torch bearer of a nuclear weapon free world by setting example rather than just by words.
[2] A learning curve on school choice
Why in news?
- The falling standards of education in the country highlighted by ASER – 2014 report. The not so successful Right to Education Act. And, financial constraints of parents to get their kids to school of their choice.
What is school choice?
- Sometimes factors like finances hinder parents to send their kids to school of their choice. School choice talks of situation where they get independence to do so without bothering about the constraints.
The role of government?
- The article wants dichotomy in the role of government in the field of education stating that administration and financing are separable functions.
- It says that government should look into minimum level of schooling and be responsible for function of coordination only.
How will the financial side be managed then?
- The article suggest an idea of voucher which will be of a maximum sum. It can be redeemed per child per year for approved institution of the parent’s choice. If needed parents can contribute the additional sum if any.
[3] Not-so-cold war
Issue
- Iran-Saudi relations.
Context
- Recently, Iran decided not to send its pilgrims to this year’s Haj.
Why Iran has taken such a decision?
- Last year, 769 pilgrims were killed in a stampede during the Haj.
- Saudi Arabia blamed the carnage on Iranian pilgrims, saying they failed to comply with authorities’ instructions.
- Iran, refused to sign on to new terms insisted on by Saudi Arabia for pilgrimage groups.
- By not sending its pilgrims Iran is implying that the House of Saud are poor guardians of the most sacred places of the Muslim ummah, or nation.
Is it about faith or something else?
- The showdown is about power, not just faith.
- Its genesis lies in Iran’s 1979 revolution, which brought Iran’s new Shia clerical-led regime into frontal confrontation with Saudi Arabia’s Sunni-theocratic order.
In recent years, Iran has emerged resurgent. - Saudi Arabia faces an Iranian ballistic missile programme — which Tehran says is necessary to defend itself against vastly superior, Western-equipped Saudi forces.
Worries for Saudis
- Its oil revenues are declining.
- Its restive youth population is drawn to violent Islamism.
- It is increasingly worried, too, that US support can no longer be taken for granted, as the superpower seeks to balance-out its regional policy by engaging Iran and other old adversaries
What should India do in such a atmosphere?
- For India, with energy and economic interests across both sides of the Iran-Saudi divide, the situation is a deeply uncomfortable one.
- Some experts have called for India to play the role of a interjector.
- Wisdom, however, lies in steering clear of the complications.
[4] Going beyond the ambit
Issue
- Overreaching jurisdiction of the Supreme Court.
Context
- Recently, the Opposition has sought a court-monitored dispute redress mechanism in case of the GST, to which Finance Minister Arun Jaitley remarked, “Step-by-step, brick-by-brick, the edifice of India’s legislature is being destroyed.”
Evolution of Judicial Activism
- The judicial activism began in 80’s when access to courts was opened up to the poor, indigent and disadvantaged sections of the nation and their basic rights were enforced through what has now become the Public Interest Litigation (PIL).
PUBLIC INTEREST LITIGATION
- PUBLIC INTEREST LITIGATION is not defined in any statute or in any act. It has been interpreted by judges to consider the intent of public at large.
- Prior to 1980s, only the aggrieved party could personally knock the doors of justice and seek remedy for his grievance and any other person who was not personally affected could not knock the doors of justice as a proxy for the victim or the aggrieved party.
- All these scenario gradually changed when the post emergency Supreme Court tackled the problem of access to justice by people through radical changes and alterations made in the requirements of locus standi and of party aggrieved.any citizen of India or any consumer groups or social action groups can approach the apex court of the country seeking legal remedies in all cases where the interests of general public or a section of public are at stake.
- Further, public interest cases could be filed without investment of heavy court fees as required in private civil litigation.
- By a process of reinterpretation of two fundamental rights — the Right to Personal Liberty in Article 21 and the Right to Equality before Law in Article 14 — the court gave the judiciary an enlarged power of review to protect the basic rights of citizens.
Rationale behind PIL
- Originally, the courts’ function was to supplement the other government departments in improving the social and economic conditions of the marginalised sections.
- It did not assume the functions of supervising and correcting the omissions and actions of government or public bodies; it, rather, joined them in a cooperative effort to achieve constitutional goals
Debate between Due Process of Law and Procedure Established by Law
What is “Due process of law” and “Procedure established by law”?
Flaws in the PIL
- The PIL was originally conceived as a jurisdiction firmly grounded on the enforcement of basic human rights of the disadvantaged unable to reach courts on their own.
- Over the years, however, the unexceptional social action dimension of the PIL has been diluted, converted, and eclipsed by another type of “public cause litigation”. In this type of legal process, the court’s intervention is not sought for enforcing the rights of the disadvantaged but to simply correct the actions or omissions of public officials, government departments or other public bodies.
- Even proceedings of legislatures have not been out of its ambit. This is in spite of Article 212, which forbids courts from inquiring into any proceedings of the legislature.
- In several PILs concerning the environment and the welfare of those disadvantaged, the court has directed policy changes in administration.
Deviated from its path
- The public in India has now become accustomed to seeing the Supreme Court correcting government action in trifling matters which should not be its concern.
- The apex court has original jurisdiction only to entertain petitions for breach of fundamental rights under Article 32 of the Constitution, and therefore these micro-managing exercises are hung on the tenuous jurisdictional peg of Article 32 taken with Article 21 or Article 14.
- In reality, no legal issues are involved in such petitions; the court is only moved for better governance and administration in such cases, which does not involve the exercise of any judicial function.
- It is time that we should have a debate on the overreaching jurisdiction of the Supreme Court.
GS PAPER 3
[1] Core sector grew 8.5 per cent in April
News:
- Core sector output is in the positive territory with an 8.5 per cent growth in April.
Reason:
- This is due to a low base and better performance by petroleum refinery, fertiliser, steel, cement and electricity sectors.
What comprises India’s Core Sector?
India’s core sector comprises of 8 key (core) industries: Coal, Crude Oil, Natural Gas, Refinery Products, Iron and Steel, Fertilizer, Cement and Electricity.
Is the growth in core sector equivalent to the growth in IIP?
- The eight core industries comprise nearly 38 per cent of the weight of items included in the Index of Industrial Production (IIP).
- But expecting that an increase in core sector growth would result in a corresponding increase in overall IIP is not right. This can be exemplified by the data from the Month of March which showed that while the core sector grew by 6.4%, the IIP grew only by a minor 0.05%.
The growth in core sector is due to low base
- Core sector industries such as petroleum refinery products and cement have shown excellent growth due to extremely low base.
- But this is not the case with all the sectors. Growth in electricity output remains the bright spot.
- Even growth in cement output is encouraging. This may be attributed to the revival of the road sector
Growth data
| Sector | % Growth in 2015 (April) | % Growth in 2016 (April) |
| Petroleum Refinery | -2.9 | 17.9 |
| Fertiliser | -0.04 | 7.8 |
| Steel | 6.1 | 0.01 |
| Cement | -1.4 | 4.4 |
| Electricity | -0.5 | 14.7 |
Areas of concern
Coal, Crude Oil and Natural gas production contracted in April 2016 as compare to April 2015
| Sector | % Growth in 2015 (April) | % Growth in 2016 (April) |
| Coal | 8.1 | 0.09 |
| Crude Oil | Decreased by 2.3% | -2.5% |
| Natural Gas | Decreased by 6.8% | -3.6% |
[2] ‘Don’t make binding concessions for APEC’
Issue
- Membership of India into Asia-Pacific Economic Cooperation (APEC).
What is Asia-Pacific Economic Cooperation?
- The Asia-Pacific Economic Cooperation (APEC) is a regional economic forum established in 1989 to leverage the growing interdependence of the Asia-Pacific.
- APEC’s 21 members aim to create greater prosperity for the people of the region by promoting balanced, inclusive, sustainable, innovative and secure growth and by accelerating regional economic integration.
- The 21 members of the APEC forum, which comprises countries bordering the Pacific Ocean including the U.S., China and Japan, account for about half the world’s trade and almost 60 per cent of global GDP.
What Does APEC Do?
APEC ensures that goods, services, investment and people move easily across borders. Members facilitate this trade through
- Faster customs procedures at borders
- More favorable business climates behind the border
- And aligning regulations and standards across the region.
Why in news?
- The Commerce Ministry has cautioned the Ministry of External Affairs (MEA) against ceding to demands that India offer binding concessions to secure an Asia-Pacific Economic Cooperation (APEC) membership.
What kind of binding concessions?
- Among the binding concessions being sought from India are
- An agreement to reduce industrial tariffs to very low levels or eliminate them over a specified time period
- An early deal on a Bilateral Investment Treaty with the U.S.,
- And its participating in negotiations for a proposed Investment Facilitation Agreement at the World Trade Organisation-level.
Background
- India had applied for APEC membership in 1991 on the basis of its geographic location, potential size of the economy and degree of trade interaction with the Asia-Pacific.
- However, at the fifth APEC Leaders’ meeting in Vancouver in 1997, a decision was taken to place a ten-year moratorium on expanding membership, which continues informally till date.
- India is engaging with APEC member countries to develop a consensus on lifting the informal moratorium on accepting new members and to actively push for India’s candidature for membership of APEC.
Benefits of APEC
- APEC structure allows its members freedom to set their own goals and timelines as well as undertake action on a voluntary and non-binding basis in areas identified for cooperation.
Conclusion
- We should not let our commercial interests sidelined in exchange for the membership of APEC.
- We are fine if discussions are on accepting India as an APEC member without asking us to agree to binding concessions, which means we can undertake reforms and implement our liberalisation process on a voluntary and non-binding basis.
- India understands that high tariffs are not favourable, at the same time eliminating tariffs would hurt the country’s economy.
- Appropriate tariff rates should be levied so that the government can make a proposal that could be called the voice of moderation at the APEC membership negotiations.
[3] Don’t write off payments banks
Why in news?
RBI granted licenses for payment banks to 11 applicants. 3 of the licensees have dropped the plan to go ahead with the operationalizing payment banks.
Firstly, what is payment banks and how it came into existence?
Payment banks were among the recommendations of Nachiket Mor committee which was constituted to look into issue of financial inclusion.
The name of the committee was: Committee on Comprehensive Financial Services for Small Businesses and Low-Income Households
The objective and scope of payment banks is mentioned below:
| Objective: | Furthering financial inclusion by providing
small savings accounts payments/remittance services |
| Target Consumers | 1. Migrant labour workforce,
2. Low income households, 3. Small businesses, 4. Other unorganised sector entities |
| Scope of Activities | 1. Acceptance of demand deposits.
2. Payments bank will initially be restricted to holding a maximum balance of Rs. 100,000 per individual customer. 3. Issuance of ATM/debit cards. Payments banks, however, cannot issue credit cards. 4. Payments and remittance services through various channels. 5. BC of another bank*. 6. Distribution of non-risk sharing simple financial products like mutual fund units and insurance products, etc. |
How were the licenses given out for payment banks?
The article emphasises that RBI took a path of calculated liberal guidelines to give out the licenses.
This helped RBI to look over existing banks and payment providers while giving out licenses.
Financial capability and wide distribution network of applicant were taken in consideration for issuing of licenses.
What has created an enabling environment for payment banks?
Why the 3 licensees seem to drop their plan?
The regulatory framework set by RBI though liberal may come across to licensees as a hindrance in their path of functioning.
How the dropping out of 3 licensees should be seen? – An Analysis
Payment banks has been well thought out idea which highlights innovation and bring out change.
Banks with full service find it difficult to deliver banking services to rural poor as it doesn’t garner any profitability for the bank.
RBI realised that a streamlined and lean system which focusses primarily on payments and deposits is the requirement of the hour to bank the unbanked rural poor and any underserved segments.
The recent moves by 3 licensees to drop plans should be a learning curve to introspect and path correction to get in line with the changing landscape of India’s banking and payment sector.
What can RBI do to build a robust payment banks system?
Moving forward RBI can introspect on many a ways to build a robust system. Some of them can be:
- Players with a proven business and technology model should be given due consideration.
- The entry threshold of Rs. 100 crore should be done away with to facilitate the entry of above mentioned players.
Conclusion
Payment banks is a well-intentioned idea in the right direction to fight the complexities of financial inclusion in the country. Need of the hour is to introspect and define a system and guidelines which lead to a robust system.
[4] Fiscal flexibility: Will a global rethink favour India?
Context
The committee to review the working of FRBMA act will check if it is viable to make a shift to range deficit target instead of a point deficit target.
What does FRBMA stand for?
- FRBMA stands for Fiscal Responsibility and Budget Management Act.
- It was enacted in the year 2003 to reduce India’s fiscal deficit, improve macroeconomic management and the overall management of the public funds by moving towards a balanced budget
Understanding Point Deficit v/s Range deficit target
- Point Deficit Target means that the govt. will take steps to bring down the fiscal deficit to a certain exact point e.g Fiscal Deficit of 3.9% of GDP in 2015-16 and then to 3.5% in 2016-17. This is presently being followed in India
- Range Target means that the government will try and keep the fiscal deficit in a particular range (say 3.5% to 3.9% of GDP in 2016-17) and not to the exact point.
Why is there a preference for Range Deficit Target
- If govt. follows a fiscal deficit range instead of point target, there would be at least some flexibility to deal with unannounced situations such as unanticipated shocks to aggregate demand or supply.
- Govt wants to increase spending to encourage private investment so as to achieve 8% growth in the year 2016-2017. But all such initiatives to increase public spending in the ensuing year (2015-16) have failed. This is because at the back of their minds the govt always have a particular target of Fiscal Deficit which it does not want to breach.A bit of flexibility (range target) would, thus, help expand capital spending.
- Limiting the government spending by placing exact limits on fiscal deficits can in the hindsight prove to be really bad for growth .It can result in lowering of demand (Less public spending= Less money in hands of people=Lower Demand) and worsening employment-unemployment outcomes.
Conclusion
It cannot be said for sure that the range deficit targets would improve the overall spending scenario, thereby pushing the growth. However, it is worth taking a shot as the current point deficit targets have not produced any rosy outcomes either.
Leave a Reply