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Current Affairs – October 11, 2024

{GS2 – Governance – Initiatives} MLA-LAD Scheme

  • Context (IE): The Delhi govt hiked MLA Local Area Development (MLALAD) funds by Rs 5 crore.

About MLA-LAD Scheme

Key Features

  • Coverage: Both rural and urban areas within a state.
  • Fund Allocation: MLAs do not receive direct financial transfers under this scheme. Instead, the government allocates funds directly to local authorities responsible for executing projects.
  • Role of MLAs: Legislators can only recommend specific developmental works within their constituencies, adhering to a set of pre-established guidelines provided by the state. District authorities manage the execution of these projects, ensuring compliances.
  • Varying Fund Allocation: The amount allocated to each MLA varies from state to state.
  • Guideline Differences: Each state may define its own guidelines for using MLA-LAD funds.

{GS2 – IR – ASEAN} India – ASEAN Relation

  • Context (IE|MEA): Indian PM is participating in the ASEAN and East Asia Summits in Vientiane, Laos, in October 2024, coinciding with the 10th anniversary of India’s Act East Policy.”

Significance of ASEAN in India’s Foreign Policy

  • Counterbalancing China: India seeks to strengthen ties with ASEAN to counter Chinese influence. At the 2023 ASEAN-India summit, PM Modi emphasised collaboration for Indo-Pacific peace and stability.
  • Economic Partnerships: ASEAN is India’s fourth-largest trading partner, with around $81 billion in 2022-23 trade bolstered by the 2010 India-ASEAN Free Trade Agreement.
  • Geopolitical Strategy: Strengthening ties with ASEAN aligns with India’s “Act East Policy” for enhanced Asia-Pacific engagement.
  • Cultural and Historical Links: India shares strong cultural ties with ASEAN, particularly through Buddhism. The “Buddhist Circuit” tourism initiative promotes religious tourism and cultural understanding.
  • Regional Security Cooperation: ASEAN is important for addressing security issues like terrorism and maritime safety, e.g., the 2020 ASEAN Defense Ministers’ Meeting Plus (ADMM-Plus).
  • Enhancing Soft Power: Initiatives like the “ASEAN-India Youth Summit” help India boost its soft power through cultural exchanges.
  • Infrastructure Projects: Key initiatives like the India-Myanmar-Thailand Trilateral Highway and the Kaladan Multimodal Project aim to strengthen transport links between India and ASEAN.

Challenges in India – ASEAN relations

  • Geopolitical Concerns: The escalating US-China conflict poses significant geopolitical challenges for relations. For example, India’s membership in the revived Quad has raised apprehension among ASEAN nations.
  • Geostrategic Challenges: Territorial disputes involving ASEAN member states, such as the South China Sea dispute, complicate India’s engagement as it seeks to promote regional stability.
  • Walking out of Regional Comprehensive Economic Partnership (RCEP): India’s last-minute withdrawal from RCEP negotiations has disappointed ASEAN members regarding trade liberalisation.
  • Growing Trade Imbalances with ASEAN, primarily because China remains the largest trading partner for these countries. Implementation issues, customs delays, and non-tariff barriers also hinder trade.
  • Slow Implementation of Connectivity Projects: Progress on the India-Myanmar-Thailand Trilateral Highway has lagged behind China’s Belt and Road Initiative.
  • Trade and Investment Barriers: Non-tariff barriers, including complex customs processes and inconsistent regulations, obstruct smoother trade and investment between India and ASEAN.
  • Internal Divisions within ASEAN to the military coup in Myanmar have led to divisions among ASEAN members, making it difficult for India to align its policies for regional stability and democratic restoration.

Measures to boost India – ASEAN relations

  • Addressing Geopolitical Concerns: Reaffirm India’s commitment to ASEAN in the regional security framework to strengthen defence and security ties.
  • Focusing on Emerging Areas: Enhance cooperation in digitalisation, health, space technology, and advanced manufacturing to foster innovation and connectivity.
  • Expanding Semiconductor Diplomacy: Extend semiconductor collaboration with ASEAN countries to build a regional ecosystem.
  • Accelerated Infrastructure Development: Prioritize key infrastructure projects to enhance trade and strengthen people-to-people connections.
  • Recalibrating AIFTA to address trade imbalances, focusing on balanced tariff reductions in pharmaceuticals, textiles, IT Services, etc.
  • Enhancing Infrastructure Connectivity by proposing a “Connectivity Master Plan” aligned with ASEAN’s 2025 goals, including potential digital initiatives to boost trade by 20-30%.
  • Boosting Manufacturing Competitiveness: Extend the Production Linked Incentive (PLI) scheme to more sectors and initiate joint manufacturing ventures, such as an electronics hub with Vietnam.
  • Enhancing Energy Cooperation: Propose an ASEAN-India Energy Partnership” focusing on renewable energy and technology collaboration, including joint research on green hydrogen.
  • Strengthening Strategic and Defence Cooperation by offering capacity-building assistance and initiating joint defence production with countries like Singapore and Indonesia.
  • Aligning on Climate Change: Establish an “ASEAN-India Green Partnership” to focus on climate change mitigation and renewable energy initiatives, enhancing India’s role in environmental cooperation.

Read more > ASEAN Summit.

{GS2 – IR – India-Maldives} India – Maldives Relations **

  • Context (TH|MEA): Maldives President Mohamed Muizzu’s recent visit to India aims to mend ties strained by his “India Out” campaign and initial pro-China stance.

Historical Ties

  • Ancient Trade Links: India and the Maldives have shared maritime trade routes since ancient times. Indian merchants engaged in trade with Maldivian islanders, fostering cultural and economic exchanges.
  • Cultural Influences: The historical spread of Buddhism from India to the Maldives left significant cultural imprints, evidenced by ancient Buddhist relics and structures in the Maldives.
  • Post-Colonial Relations: Following the Maldives’ independence from British rule in 1965, India played a crucial role in supporting the nation’s sovereignty and development, establishing strong diplomatic ties.

Significance of Maldives to India

  • Geographical Location: The Maldives serves as a strategic “toll gate” in the Indian Ocean, linking key chokepoints like the Gulf of Aden and the Strait of Malacca. 50% of India’s trade and 80% of its energy imports pass through these sea lanes.
  • Economic Importance: The Maldives is vital for India’s trade, with over 97% of its trade volume and 75% of its trade value passing through the Indian Ocean.
  • Strategic Significance: Amid China’s naval expansion, the Maldives plays a key role in regional security dynamics. Its membership in SAARC and SASEC enhances India’s strategic partnerships in South Asia.
  • Radicalization during Abdullah Yameen’s presidency heightened security risks for India, as the Maldives significantly contributed to foreign fighters in Syria, underscoring the need for stability.
  • Regional Stability: A stable Maldives is crucial to India’s “Neighbourhood First” policy, which aims to address shared challenges like terrorism and piracy through collaborative efforts.
  • Indian Diaspora: A significant Indian community in the Maldives bolsters bilateral relations, contributing to education and healthcare while serving as a cultural bridge.

India’s Significance for Maldives

  • Essential Supplies: India is a key supplier of vital goods like rice, spices, and medicines and also provides construction materials for Maldivian infrastructure.
  • Educational Support: India is the main higher education provider for Maldivian students, offering scholarships and access to Indian institutions.
  • Disaster Assistance: India has consistently provided aid during crises, including the 2004 and 2014 tsunami, demonstrating its reliability as a partner.
  • Security Provider: India has historically intervened for the Maldives’ security, notably during the 1988 coup attempt (Operation Cactus) and through joint naval exercises like “Ekuverin” and “Dosti.”
  • Tourism Impact: Indian tourists have become the largest source of visitors to the Maldives, accounting for 11.2% of arrivals in 2023, highlighting the strong tourism ties.
  • First Responder Role: India has acted swiftly in crises, such as providing 30,000 measles vaccine doses in January 2020 and being the first to send COVID-19 vaccines to Maldives.
  • Developmental Aid: India has extended Line of Credit (LOC) for key projects, including the Greater Malé Connectivity Project and the Gulhifalhu Port project.
  • Trade Relations: India became the Maldives’ second-largest trade partner in 2022 and the largest in 2023, showcasing deepening economic ties.

Areas of Cooperation in India-Maldives Relationship

  • Security Cooperation: India and Maldives, alongside Sri Lanka, enhance maritime security to combat piracy and trafficking, focusing on maritime domain awareness and humanitarian assistance.
  • Military Cooperation: India provides military equipment and a $50 million Line of Credit for defence projects, meeting 70% of the Maldives National Defence Force’s training needs.
  • Economic Cooperation: Agreements include $500 million for maritime connectivity and an $800 million Line of Credit.
  • Infrastructure Developments like the Greater Male Connectivity Project is involved in police infrastructure development and the Hanimaadhoo International Airport redevelopment.
  • Humanitarian Assistance: India supplied 100,000 COVID-19 vaccine doses in 2021 and aided in building the Indira Gandhi Memorial Hospital.
  • Education and Technology Cooperation via the National Knowledge Network and supports initiatives such as the National College for Policing and Law Enforcement.

Recent Developments

  • Currency Swap Agreement: A $400 million swap arrangement and ₹3,000 crore under the SAARC Currency Swap Framework have been signed, aiding Maldives in its foreign currency shortage until 2027.
  • Economic and Maritime Security Partnership: India and Maldives are transforming their relationship into a “Comprehensive Economic and Maritime Security Partnership.”
  • Treasury Bill Rollover: India has rolled over a $50 million Treasury Bill for an additional year.
  • RuPay Card Launch: The introduction of the RuPay card will facilitate financial transactions for Indian tourists, supporting tourism recovery.
  • Pacts Signed: Agreements include judicial training, anti-corruption initiatives, law enforcement training, and youth programs.
  • Airport Runway: A new runway at Hanimaadhoo Island for international flights has been inaugurated.

Major Challenges in India-Maldives Relations

  • India-Out Campaign: The “India Out” movement in Maldives politics frames India’s military presence as a sovereignty threat, with President Muizzu demanding troop withdrawal by March 15, 2024.
  • Tourism Strain: Diplomatic tensions following derogatory remarks about the Indian PM have sparked a “Boycott Maldives” trend, threatening the tourism sector, which accounts for 28% of the Maldives’ GDP.
  • China’s Rising Influence: China’s investments, particularly through the Belt and Road Initiative, pose a strategic challenge, increasing geopolitical competition in the region.
  • Shifts in Alliances: President Muizzu’s pro-China stance raises concerns about consistent India-Maldives relations amid lingering anti-India sentiments from former President Yameen.
  • Security Concerns: The Maldives faces threats from terrorism and piracy, with Maldivians reportedly joining groups like ISIS, potentially endangering Indian assets.
  • Infrastructure Project Delays: Delays in Indian-backed initiatives like the Greater Malé Connectivity Project frustrate the Maldivian government and undermine trust in India as a partner.

Way Forward for Improving India-Maldives Relations

  • Economic collaboration, such as the Greater Malé Connectivity Project, and initiatives, such as the High Impact Community Development Project (HICDP), to create jobs.
  • Enhance joint military exercises like Ekuverin and Dosti and support projects like the Ekatha harbour project at Uthuru Thila Falhu to strengthen the Maldives National Defence Force (MNDF).
  • Health Cooperation: Recognize the Indian pharmacopoeia and establish Jan Aushadhi Kendra for affordable generic medicines, improving healthcare access and collaboration.
  • Trade Cooperation: Initiate a Bilateral Free Trade Agreement to facilitate trade and operationalise transactions in local currencies to deepen economic ties.
  • Regional Cooperation: Actively participate in SAARC and Indian Ocean Rim Association (IORA) meetings to tackle regional issues like piracy and illegal fishing, enhancing collective security.
  • Strengthen the Colombo Security Conclave to bolster maritime security.

{GS3 – IE – Development} Middle-Income Trap

  • Context (TH): The World Development Report 2024 by the World Bank highlights the “middle-income trap,” where growth rates slow as incomes increase. It emphasises adopting a “3i” Approach (Investment, Infusion of new technologies, and Innovation).
  • Middle-Income Trap refers to a situation in which a country’s growth slows after reaching middle-income levels, preventing it from achieving high-income status. This happens because the easy gains from cheap labour and low-hanging industrialisation fade as countries climb out of poverty.

Challenges for India

  • Slow Growth in Manufacturing: Manufacturing is no longer the growth engine, with developed nations going protectionist.
  • Premature deindustrialisation: Modern economies are seeing a decrease in manufacturing share at much lower GDP levels compared to the past.
  • Rising Power of Billionaires: Increasing control of the Indian economy by a few billionaire groups may hinder broad-based investment and equitable growth.
  • Agriculture’s Persistent Role: Reverse structural transformation: Post-pandemic, India has seen rising employment in low-productivity sectors like agriculture.

Way Forward

  • Promote Export-Led Growth: Even with global trade headwinds, India must integrate into global value chains and push for service sector growth.
  • Domestic Innovation: Emphasize technology transfer, foster innovation, and support start-ups and industries with R&D investment.
  • Inclusive Growth: Ensure workers benefit from economic growth through real wage increases and improved labour conditions.
  • Neutral State Role: The government should maintain neutrality, supporting all sectors based on merit and performance, not proximity to power.

Lessons from South Korea and Chile

  • South Korea
    • State Intervention: Directed private sector activities and promoted export-driven growth.
    • Economic Planning: Disciplined local elites and ensured adherence to state economic plans.
    • Business Success: Successful companies received state support, non-performers were allowed to fail.
  • Chile
    • Resource Export: State intervention ensured success in natural resource sectors like Salmon industry.
    • Targeted Support: Multiple fronts of state support ensured industry growth.

{Prelims – Awards} Nobel Prize 2024 in Literature

  • Context (TH): South Korea’s Han Kang won the Nobel Prize 2024 in Literature for her “intense poetic prose that confronts historical traumas and exposes the fragility of human life“.
  • She is the first Korean to win the Nobel Prize in Literature. Her Notable Works are The Vegetarian (which won the Man Booker International Prize in 2016), The White Book, Human Acts, and Greek Lessons.

{Prelims – Bio – Disease} Myopia

  • Context (TH): A Recent Study underscores the increasing prevalence of myopia (shortsightedness), particularly in East Asia, and stresses the significance of outdoor activities in mitigating this trend.

Key Findings

  • Global Impact: By 2050, a third of children & adolescents could face difficulties reading without glasses.
  • Gender Disparity: Women are more affected than men.
  • Age Groups: Nearly half of adolescents and high school students could suffer from myopia.

What is Myopia?

  • Myopia, also known as nearsightedness or shortsightedness, is a common vision condition where close objects are seen clearly, but distant objects appear blurry. It occurs when the eye grows too long from front to back (axial length) or the cornea is too curved.

Myopia | Definition & Treatment | Britannica

Source: Britannica

{Prelims – In News} Hizb-ut-Tahrir (HuT)

  • It is an international Islamist movement seeking to unite Muslims under one Islamic caliphate.

Procedure for Banning an Organization Under UAPA

  • Recommendation: MHA recommends the ban based on intelligence and security threats.
  • Evidence Review by the Government of India.
  • Official Notification: A ban is declared via a notification in the Official Gazette.
  • Tribunal Formation: Within 30 days, a Tribunal under a High Court judge will review the ban.
  • Tribunal Decision: The Tribunal must confirm or reject the ban within six months.
  • Appeal: The organisation can appeal the Tribunal’s decision in higher courts.
  • Penalties: Post-ban, association with the group leads to prosecution under UAPA, with punishments up to life imprisonment or death.

Recent organisations banned under the UAPA

  • Popular Front of India (PFI), Kerala.
  • Jammu and Kashmir Liberation Front (Yasin Malik faction).
  • Jammu Kashmir National Front (JKNF).
  • Jammu and Kashmir Peoples Freedom League (JKPFL).
  • Tehreek-e-Hurriyat (TeH).
  • Students Islamic Movement of India (SIMI).

{Prelims – In News} Mutiny Memorial (Ajitgarh)

  • Context (IE): Mutiny Memorial, Ajitgarh was in news.
  • It was originally built in 1863 to honour the British and Indian soldiers who fought in the Delhi Field Force during the Indian Rebellion of 1857.
  • Renaming: In 1972, on the 25th anniversary of India’s independence, the Indian government renamed the memorial Ajitgarh (meaning “Place of the Unvanquished“).
  • Architectural Features: Gothic architecture, constructed with red sandstone. A four-tiered building with an octagonal base. The lowest tier has seven faces with memorial plaques engraved with the names and ranks of the soldiers. The memorial was designed to be taller than the nearby Ashoka Pillar.

{Prelims – In News} OpenSAFELY Platform

  • Context (TH): OpenSAFELY platform will enable access to people’s health records in the U.K. without compromising individual privacy.
  • It is a secure, transparent, open-source software platform for analysis of electronic health records data.
  • OpenSAFELY does not move patient data outside its secure environments.

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