1. Economy likely to grow by 7% this year: Survey

(Source – The Hindu, International Edition – Page No. – 1)

Topic: GS3 – Indian Economy

Context

The Indian economy is set to grow by 6.5% to 7% this year, focusing on addressing inequality and unemployment. The Economic Survey for 2023-24 highlights the need for regulatory ease, responsible AI use, and next-gen reforms to achieve sustainable and inclusive growth, emphasising private sector investment and agricultural optimization.

Analysis of the news:

• The Indian economy is projected to grow by 6.5% to 7% this year, with potential for 7%-plus growth in the coming years, according to the Economic Survey for 2023-24.
• Chief Economic Adviser (CEA) V. Anantha Nageswaran emphasised the need to address inequality and unemployment.
• The CEA urged the Union and State governments to reduce regulatory burdens on businesses.
• He called on the corporate sector to create productive jobs, stressing the importance of responsible AI use that augments labour rather than displaces workers.
• The Economic Survey highlighted the need for reforms to tackle inequality, improve young population’s health, and bridge the education-employment gap.
• Skilling initiatives should be revamped to match industry needs.
• The CEA warned against the negative impact of social media, screen time, sedentary habits, and unhealthy food on public health and productivity.
• Structural reforms like GST and the Insolvency and Bankruptcy Code have been effective, but next-gen, bottom-up reforms are needed for inclusive growth.
• India’s journey to raise per capita GDP from $2,500 to $10,000 by 2047 requires a different approach and evolving attitudes.
• The Survey’s strategy includes boosting private sector investments, financing the green transition, supporting MSMEs, and optimising agricultural potential through intelligent policies.

Practice Question:  Discuss the key recommendations of the Economic Survey for 2023-24 regarding India’s economic growth, addressing inequality, and the role of regulatory and structural reforms. (150 Words /10 marks)

2. ‘India has shifted to women-led development; female labour force participation rate rising’

(Source – The Hindu, International Edition – Page No. – 5)

Topic: GS3 – Indian Economy – Issues relating to development and employment.

Context

India’s transition from women’s development to women-led development is marked by increased budget allocations and skilling programs. The female labour force participation is rising, and investment in the care economy could generate millions of jobs, primarily benefiting women.

Analysis of the news:

• India is shifting focus from women’s development to women-led development, as highlighted by Chief Economic Adviser V. Anantha Nageswaran.
• Budgetary allocation for women’s welfare and empowerment increased by 218.8%, with the share of the Gender Budget rising to 6.5% in FY 2025, the highest since the introduction of the Gender Budgeting Scheme in FY 2006.

• The Economic Survey notes that while women face the “motherhood penalty,” affecting their labour force participation, efforts are being made to address this.
• Skilling schemes are prioritising women, with their share in the Pradhan Mantri Kaushal Vikas Yojana rising from 42.7% in FY 2015-16 to 52.3% in FY 2023-24.
• Women make up about 82% of beneficiaries under the Jan Shikshan Sansthan scheme and their participation in ITIs and National Skill Training Institutes increased from 9.8% to 13.3%.
• The female labour force participation rate (LFPR) in rural India increased to 37% in 2022-23 from 23.3% in 2017-18.
• The Pradhan Mantri Jan Dhan Yojana led to the opening of 52.3 crore bank accounts, with 55.6% held by women as of May 2024.
• Investment in the care economy, estimated at 2% of GDP, could generate 11 million jobs, with nearly 70% going to women, drawing from models in Australia, Argentina, Brazil, and the U.S.
• The care sector is one of the fastest-growing globally, with investments expected to create 475 million jobs worldwide by 2030.

Practice Question:  Discuss the implications of India’s shift from women’s development to women-led development, focusing on recent budgetary changes, skilling programs, and the impact of investing in the care economy on female labour force participation. (250 Words /15 marks)

3. Slow progress on railway safety: Economic Survey

(Source – The Hindu, International Edition – Page No. – 6)

Topic: GS3 – Indian Economy – Infrastructure

Context

Despite a rise in capital expenditure and increased deployment of signalling systems, railway safety remains a concern in India. The Kavach system covers only 2.14% of the network, and electronic interlocking has been implemented at 46% of stations. Automatic block signalling has reached 6.47% of routes.

Analysis of the news:

• Safety Concerns: Limited progress in safety measures following a series of railway accidents. Key safety systems like Kavach and updated signalling are still underdeveloped.
• Kavach Deployment: Kavach automatic train protection system installed on 1,465 route km, which is only 2.14% of the total 68,426 route km railway network.

Kavach System:

The Kavach system is an automatic train protection system developed by Indian Railways to enhance safety. It uses onboard and trackside equipment to prevent collisions by automatically controlling train speed and braking in emergencies. Kavach detects signal violations and ensures trains adhere to signal instructions, thus reducing human error and improving overall railway safety. It is a key component in modernising and safeguarding railway operations in India.

• Signalling Systems: Of 7,349 railway stations, eight of the 17 operational zones are free from mechanical signalling. 40% of stations have switched to electronic interlocking systems, with 46% having made the transition by 2023-24.
• Capital Expenditure: Increased by 77% over five years to ₹2.62 lakh crore in 2023-24, focusing on new lines, gauge conversions, and doubling.
• Electronic Interlocking: Introduced 12 years ago, installed at 3,424 stations by March 31, 2024. 443 additional stations adopted this system in 2023-24.
• Automatic Block Signalling: Provides safe train movement between blocks. Implemented on 582 route km in 2023-24, with 4,431 route km covered since its inception, amounting to 6.47% of the high-density network routes.

Practice Question:  Evaluate the progress and challenges in improving railway safety in India as highlighted in the Economic Survey 2023-24, focusing on the deployment of Kavach, electronic interlocking systems, and automatic block signalling. (250 Words /15 marks)

4. A case for regulating gig-based work

(Source – The Hindu, International Edition – Page No. – 10)

Topic: GS3 – Indian Economy – Issues relating to development and employment.

Context

The Karnataka government is introducing legislation to enhance gig workers’ welfare, countering myths about independence, flexibility, and part-time status. It mandates transparency in algorithmic work controls and social security. This move addresses gaps in India’s existing labour laws and sets a precedent for other states to follow.

Introduction

• The Karnataka government is introducing legislation aimed at improving the welfare of gig workers.
• The legislation counters several prevalent myths about gig work.

Myth of Independence

• Claim: Gig workers are independent contractors with no boss, depicted as partners or captains.
• Reality: Workers are controlled by algorithms and local managers.
• Impact: Algorithms dictate work hours, task allocation, and performance metrics.
• Legislation Response: The Karnataka Bill makes aggregators disclose algorithm parameters used for work allocation, denial of work, and personal data usage, aiming to reduce algorithmic control.

Myth of Flexibility

• Claim: Gig work offers flexible work arrangements.
• Reality: Flexibility benefits employers, not workers. Workers must adhere to mandatory login hours and incentive schemes.
• Legislation Response: The draft Bill introduces provisions for fair contracts, income security, and the right to refuse work without penalties, enhancing worker protections.

Myth of Part-Time Work

• Claim: Gig work is a part-time job for additional income.
• Reality: Many gig workers, such as cab drivers and delivery workers, rely on gig work for their entire income and work long hours.
• Legislation Response: The Bill mandates social security, acknowledging the full-time nature of gig work and providing support for old age, health issues, and other contingencies.

India’s Position and Comparative Legislation

• Government Stance: While the Indian Government supported gig worker rights at the G-20, its Code on Social Security offers limited protections.
• State Initiatives: Karnataka follows Rajasthan in passing legislation for gig workers; other states like Jharkhand, Tamil Nadu, Haryana, and Telangana are also considering similar laws.
• Implications: The Karnataka Bill reflects a shift towards including market contributions in financing social security and holding private actors accountable.
• Limitations: The Bill does not address minimum wage, occupational safety, health, working hours, or collective bargaining rights, but it provides a foundation for further advocacy and improvement.

PYQ: Examine the role of ‘Gig Economy’ in the process of empowerment of women in India. (150 words) (UPSC CSE (M) GS-1 2021)

Practice Question:  Analyse the challenges faced by gig workers in India with respect to labour rights and social security. How can state and central government policies be improved to better protect gig workers and ensure fair treatment in the gig economy? (250 Words /15 marks)

5. Economic Survey 2023-24: Realistic Challenges and Strategic Solutions for India’s Growth Trajectory

(Source: Indian Express; Section: Explained; Page: 15)

Topic: GS3 – Indian Economy

Context:

The Economic Survey for 2023-24 distinguishes itself by presenting a more realistic portrayal of the challenges facing India’s economic growth. Despite an impressive GDP growth rate of over 8% in FY2023-24, the survey projects a moderated growth rate of 6.5% to 7% for FY2024-25. The survey highlights several key challenges and offers recommendations to address them.

Analysis of News:

The Survey’s Diagnosis

Global Headwinds:

• The survey highlights that the environment for foreign direct investment (FDI) is not highly favorable.
• High interest rates in developed countries have increased the cost of funding and the opportunity cost of investing in developing countries like India.
• Additionally, India faces competition from industrial policies in developed countries that offer substantial subsidies to encourage domestic investment. Geopolitical uncertainties further complicate the situation.

China Challenge:

• The Chief Economic Advisor (CEA) pointed out India’s continued dependency on China for imports, particularly in renewable energy.
• China has retained its dominance in low-skills manufacturing, a sector that India had aimed to occupy.

AI Threat:

• The survey notes that while telecommunications and Internet-facilitated business process outsourcing (BPO) have boomed, the next wave of technological evolution might render these sectors obsolete.

Tepid Private Investment:

• Despite significant corporate tax cuts in September 2019 aimed at facilitating capital formation, private investment has not responded robustly.
• The survey emphasizes that corporate profits have surged, but this has not translated into proportional increases in hiring and compensation.

Employment Imperative:

• The Indian economy needs to generate nearly 7.85 million jobs annually in the non-farm sector until 2030 to accommodate the rising workforce. This is a significant challenge that needs strategic solutions.

Data Deficiency:

• A recurrent criticism against the government is the lack of high-quality, timely data, especially regarding employment.
• The survey acknowledges this gap, stating that the lack of timely data on job creation across various sectors hampers objective analysis of the labor market situation.

Lifestyle Disadvantages:

• The survey notes that modern lifestyle choices—such as excessive screen time, sedentary habits, and unhealthy diets—are detrimental to public health and productivity, thus undermining India’s economic potential.

Recommended Solutions

Job Creation by the Private Sector:

• The survey reiterates the government’s strategy to reduce its role in the economy and incentivize the private sector to create jobs.
• It calls on the Indian corporate sector, which is experiencing excess profits, to take responsibility for job creation seriously.

Lifestyle Changes by the Private Sector:

• The CEA advocates for embracing India’s traditional lifestyle, food, and recipes, which promote healthy living and harmony with nature.
• He suggests that these practices have a global market potential that Indian businesses should lead and capitalize on.

Farm Sector as the Saviour:

• Contrary to conventional economic theories that suggest a transition from agriculture to manufacturing and services, the survey proposes a renewed focus on agriculture.
• It argues that trade protectionism, resource hoarding, excess capacity, and advancements in AI are limiting growth opportunities in manufacturing and services.
• Enhancing value addition in agriculture can boost farmers’ incomes, create opportunities in food processing and exports, and make agriculture attractive to urban youth.

Removing Regulatory Bottlenecks:

• The survey calls for reducing the licensing, inspection, and compliance burdens imposed by various government levels.
• It identifies the Medium, Small, and Micro Enterprises (MSMEs) sector as particularly needing relief from regulatory burdens.

Building State Capacity:

• The survey emphasizes the need for building state capacity to sustain and accelerate India’s progress. It advocates for focusing on practical reforms and the necessary groundwork to support economic development.

Conclusion

• The Economic Survey for 2023-24 presents a realistic assessment of India’s economic challenges and offers strategic recommendations.
• Addressing global headwinds, reducing dependency on China, adapting to technological changes, boosting private investment, generating employment, improving data quality, and promoting healthy lifestyles are critical for sustainable growth.
• By enhancing agricultural value, removing regulatory hurdles, and building state capacity, India can navigate its economic journey effectively.

Practice Question:  The Economic Survey for 2023-24 provides a realistic assessment of India’s economic challenges and proposes several strategic solutions. Discuss the key challenges identified in the survey. (250 words/15 m)

6. Centre Lifts Six-Decade-Old Ban: Government Employees Can Now Participate in RSS Activities

(Source: Indian Express; Section: Explained; Page: 15)

Topic: GS2 – Governance – Government policies – Interventions for development in various sectors

Context:

On July 9, the Department of Personnel and Training (DoPT) issued a directive allowing central government employees to participate in the activities of the Rashtriya Swayamsevak Sangh (RSS) without facing disciplinary actions. This decision overturned long-standing rules that had been in place for nearly six decades. The directive specifically mentioned that the government had reviewed instructions from 1966, 1970, and 1980, and decided to remove the mention of the RSS from the relevant official memorandums (OMs).

Analysis of News:   

Historical Context of Restrictions

• Prior to this change, government circulars from 1966, 1970, and 1980 explicitly prohibited government servants from being members of or participating in the activities of the RSS and Jamaat-e-Islami.
• These circulars were based on Rule 5 of the Central Civil Services (Conduct) Rules, 1964, which barred government employees from taking part in political activities.
• This rule aimed to ensure that government servants maintained political neutrality and did not engage in activities that could compromise their impartiality.

Specifics of the Historical Circulars

• The 1966 circular from the Ministry of Home Affairs (MHA) stated that participation in the activities of the RSS and Jamaat-e-Islami would attract disciplinary action under Rule 5(1) of the Conduct Rules.
• The 1970 circular reinforced this position, instructing that action be taken against any government servant found violating these instructions.
• During the Emergency (1975-77), further orders were issued to take action against members of banned organizations, including the RSS and Jamaat-e-Islami.
• The 1980 circular emphasized the need for a secular outlook among government servants and reiterated the prohibition on participating in communal organizations.

Evolution of Conduct Rules

Conduct Rules Before 1964

• Before the notification of the Central Civil Services (Conduct) Rules, 1964, and the All India Services (Conduct) Rules, 1968, the Government Servants’ Conduct Rules of 1949 were in effect.
• These rules, framed during Sardar Vallabhbhai Patel’s tenure as Home Minister, contained provisions similar to Rule 5 of the later conduct rules, prohibiting participation in political activities.
• The nature of prohibited organizations was clarified periodically based on specific requests and representations.

Consequences of Rule Violations

• Rule 5(3) of both the 1964 and 1968 rules stated that the government’s decision on whether a party or organization was political would be final.
• Violations of these rules could result in severe disciplinary actions, including dismissal from service.
• However, due to the RSS’s lack of a formal membership system, proving an individual’s association with it was challenging.

Impact of the July 9 Circular

Change in RSS’s Status

• The July 9 circular fundamentally changes the status of the RSS, effectively declaring it a non-political organization.
• This allows central government employees to participate in RSS activities without fear of disciplinary action under Rule 5(1) of the Conduct Rules.
• However, the directive does not extend the same reconsideration to the Jamaat-e-Islami, which remains classified as a political organization.

RSS’s Historical Stance

• The RSS has consistently maintained that it is a non-political, cultural organization, and its activities are not influenced by government restrictions.
• For instance, in 2014, RSS chief Mohan Bhagwat stated that the organization did not intend to demand the lifting of restrictions from the government, asserting that the RSS’s work was unaffected by such barriers.

Broader Implications and State Governments

Applicability to Central vs. State Employees

• The July 9 circular specifically applies to central government employees. State governments have their own conduct rules and can issue instructions independently.
• Various state governments have taken different stances over the years based on the ruling political party.
• For example, Himachal Pradesh’s BJP government lifted restrictions on RSS participation in 2008, while Madhya Pradesh’s BJP government clarified in 2006 that restrictions did not apply to the RSS.

Consistency Across Different Governments

• The prohibition on RSS participation remained consistent through various administrations, including those of Indira Gandhi, Rajiv Gandhi, P.V. Narasimha Rao, and the National and United Front governments.
• Even during Atal Bihari Vajpayee’s tenure as Prime Minister, the restrictions continued.
• It was not until the current Modi government that a formal change was implemented, reflecting a significant shift in policy regarding the RSS.

Conclusion

• The DoPT’s July 9 directive marks a notable change in the relationship between central government employees and the RSS.
• By removing the RSS from the list of organizations deemed political, the government has allowed its employees greater freedom to engage with the RSS without risking disciplinary action.
• This decision underscores the evolving nature of conduct rules and the political landscape in India.
• However, it also highlights the ongoing distinction made between different organizations, as seen in the continued classification of Jamaat-e-Islami as a political entity.

Practice Question:  Discuss the implications of the recent directive by the Department of Personnel and Training (DoPT) that allows central government employees to participate in activities of the Rashtriya Swayamsevak Sangh (RSS). What historical context led to the initial restrictions, and how might this policy change impact the neutrality and functioning of the civil services in India? (250 words/15 m)

7. Economic Survey Highlights Rising Burden of Non-Communicable Diseases and Mental Health Issues in India

(Source: Indian Express; Section: Economic Survey; Page: 07)

Topic: GS2 – Social Justice – Health

Context:

The latest Economic Survey highlights the growing economic burden of non-communicable diseases (NCDs) and mental health issues in India. The report emphasizes that for the working-age population to remain productively employed, they require both skills and good health. It points to a concerning combination of social media use, excessive screen time, sedentary lifestyles, and unhealthy eating habits as significant factors undermining public health and productivity, thereby threatening India’s economic potential.

Analysis of News:   

Private Sector’s Role and Unhealthy Consumption Patterns

• The survey critically examines the private sector’s contribution to the rise of unhealthy habits, labeling it as short-sighted.
• It notes that emerging food consumption patterns among Indians are not only detrimental to health but also environmentally unsustainable.
• The survey underscores a troubling trend: obesity and diabetes are on the rise.
• Data from the National Family Health Survey (NFHS-5) conducted in 2019-2021 reveals that obesity rates have increased by four percentage points in men and 3.4 percentage points in women compared to the previous survey round in 2015-16.

Dietary Habits and Disease Burden

• The increase in highly processed food consumption, laden with sugar and fat, is blamed for this health deterioration.
• The report stresses that for India to harness its demographic dividend, it is crucial for the population’s health metrics to shift towards a balanced and diverse diet.
• According to the National Institute of Nutrition, unhealthy diets account for 56.4% of the total disease burden in India.
• This dietary imbalance has contributed to a dramatic rise in Type 2 diabetes incidence, escalating from 2% to 20% over the past 50 years.

Government Initiatives and State-Level Challenges

• In response, the government plans to screen for NCDs such as diabetes, hypertension, and the three most common cancers through its extensive network of over 1.6 lakh health and wellness centers across the country.
• However, implementation varies, with states like Delhi not adopting the scheme and others like Punjab and West Bengal engaged in disputes with the Center over funding and branding norms.
• Experts stresses that merely screening and providing medication is insufficient. There is a pressing need for health systems to shift from managing acute ailments to offering longitudinal care for chronic conditions like diabetes.

Mental Health Issues and Social Media Impact

Prevalence of Mental Disorders

• The survey also addresses the prevalence of mental health disorders, citing that 10.6% of adults in India suffer from mental health issues according to the National Mental Health Survey 2015-16.
• It highlights the detrimental effects of social media on children’s mental health, stressing the need for increased attention to mental health issues.

Strategies for Improvement

• To mitigate these challenges, the survey argues for a two-pronged approach: firstly, both the government and the public must prioritize healthy eating and mental health; secondly, effective governance at the state and local levels is crucial for the successful implementation of national health programs.
• This localized governance is essential for these initiatives to reach the grassroots level with minimal resistance.

Economic and Health Policy Implications

• The findings of the Economic Survey underscore the significant economic impact of an unhealthy working population.
• Historically, health policies have focused on infectious diseases, maternal, and child health. However, there has been a noticeable shift towards addressing NCDs over the past few years.
• Health systems need to adapt accordingly, transitioning from an acute care model to one that includes comprehensive management of chronic diseases. This shift is vital for maintaining a healthy workforce capable of contributing to the country’s economic growth.

Practice Question:  Analyze the economic implications of the increasing burden of non-communicable diseases (NCDs) and mental health issues in India as highlighted in the recent Economic Survey. Discuss the role of lifestyle changes and the private sector in this context and evaluate the effectiveness of government initiatives in addressing these health challenges. (250 words/15 m)

8. Domestic Patent Applications Surpass Foreign Filings for the First Time in FY24

(Source: Indian Express; Section: Economy)

Context:

Driven by increased applications in sectors such as chemicals, pharma, computer science, and information technology, domestic patent applications in FY24 have outpaced foreign applicants for the first time. This marks a significant shift in India’s intellectual property landscape, reflecting a growing emphasis on research and development (R&D) within the country. Despite this, foreign entities still dominate the number of patents granted, holding nearly two-thirds of the overall applications cleared.

Analysis of News:   

Dominance of Foreign Entities in Patent Approvals

• Patent approvals, which serve as an indicator of R&D activity by companies, continue to favor foreign entities.
• Global IT majors such as Qualcomm Inc., Samsung Electronics, Huawei Technologies, and Apple occupy top spots, outpacing Indian companies.
• Although the gap in final patents granted has narrowed, foreign entities still account for over 70% of the final patent clearances.
• This trend underscores the ongoing challenges faced by domestic firms in securing intellectual property rights.

Challenges in India’s R&D Ecosystem

Trade Policy and R&D Inefficiencies

• Trade policy experts argue that the wide gap between domestic and foreign patent holders highlights inefficiencies in India’s R&D capabilities.
• These inefficiencies are often exploited by foreign companies, pre-empting potential domestic competition in the fast-growing Indian consumer market.
• Economists attribute lower R&D activity to weak private investments and stagnant government spending, leading to a dependency on imported machinery, parts, and foreign expertise to fulfill export orders.

Global Comparisons in Foreign Patent Approvals

• Global comparisons reveal that India has one of the highest rates of patents approved for non-resident entities, standing at 74.46% in 2022.
• This contrasts sharply with China, where the figure is 12.87%. Countries with high R&D spending, such as Japan and South Korea, show lower shares of foreign patent approvals, indicating stronger domestic innovation capabilities.
• For example, Japan’s and South Korea’s shares are 22.98% and 26.61%, respectively. This disparity highlights the need for India to boost its domestic R&D efforts to reduce dependence on foreign technologies.

Rise in Domestic Patent Applications and Systemic Challenges

Increasing Domestic Applications

• Domestic patent applications have been steadily increasing since FY19, narrowing the gap between domestic and foreign applicants. The share of patent applications by residents rose from 34% in FY19 to 53% in FY24.
• However, this increase in applications has not yet translated into approvals, as foreign entities continue to dominate patent approvals. Experts attribute this to the quality of patent applications and the overall patent ecosystem in India.

Need for More Patent Examiners

• The quality of patent approvals is hindered by the low number of patent examiners in India.
• According to the World Intellectual Property Organization (WIPO), India has 597 full-time equivalent examiners, approving over 1 lakh patents last year. In contrast, the European Union has 3,982 examiners, Germany has 821, and the United States has over 8,000.
• The lower number of examiners in India leads to longer approval times and potentially lower quality assessments, impacting the overall patent ecosystem.

Stagnation in India’s R&D Spending

Low R&D Investment

• India’s spending on R&D as a percentage of GDP has stagnated over the years, currently lower than the 0.83% seen in 2008.
• According to World Bank data, the figure has slipped to 0.65% in 2022, much lower than the global average of 2.62%.
• This stagnation in R&D investment hampers industrial growth and increases reliance on Chinese imports for manufacturing needs.

Impact on Industrial Growth and Innovation

• Experts emphasize that India’s stagnant R&D intensity does not bode well for industrial growth. China’s success in manufacturing is largely attributed to its focus on innovation, which complements its capacity-building efforts.

Foreign firms securing a significant share of patents in India increases the country’s tech dependence and foreign exchange outgo, further straining the domestic economy

9. INDIA’S REAL GDP PROJECTED TO GROW BETWEEN 6.5–7 PER CENT IN 2024-25

(Source – https://pib.gov.in/PressReleseDetail.aspx?PRID=2034973 )

Topic: GS3 – Indian Economy

Context

The Economic Survey 2023-24 presented by the Union Minister of Finance highlights India’s robust economic recovery post-pandemic, with an 8.2% GDP growth in FY24. Significant sectoral contributions, improved fiscal metrics, and enhanced social welfare measures, project continued growth amidst global uncertainties and domestic policy initiatives.

Economic Performance

• GDP Growth: India’s real GDP grew by 8.2% in FY24, surpassing 8% in three out of four quarters.
• Sector Contributions: Shares in GVA at current prices: Agriculture (17.7%), Industry (27.6%), Services (54.7%).
• Manufacturing & Construction: Both sectors grew by 9.9% in FY24.

Inflation and Investment

• Retail Inflation: Declined to 5.4% in FY24 from 6.7% in FY23.
• Gross Fixed Capital Formation (GFCF): Increased by 19.8% in FY23, driven by private non-financial corporations.
• Real Estate: Residential units sold in top eight cities grew by 33% YoY in 2023.

Fiscal Performance

• Fiscal Deficit: Reduced from 6.4% of GDP in FY23 to 5.6% in FY24.
• Capital Expenditure: Stood at ₹9.5 lakh crore, a 28.2% YoY increase.
• State Government Spending: Gross fiscal deficit was 8.6% lower than budgeted.

Banking and Finance

• GNPA Ratio: Declined to 2.8% in March 2024, a 12-year low.
• Credit Disbursal: Continued double-digit growth for MSMEs and personal housing loans.

External Sector

• Service Exports: Reached USD 341.1 billion in FY24.
• Forex Reserves: Sufficient to cover 11 months of projected imports.
• Current Account Deficit: Improved to 0.7% of GDP from 2.0% in FY23.

Social Welfare and Employment

• Direct Benefit Transfer: ₹36.9 lakh crore transferred since 2013.
• Female Labour Force Participation: Increased from 23.3% in 2017-18 to 37% in 2022-23.
• Unemployment: Declined with an increase in labour force participation and worker-to-population ratio.

Global Economic Context

• Global Growth: According to IMF, the global economy grew by 3.2% in 2023.
• Geopolitical Risks: Potential escalation could impact supply chains, inflation, and monetary policy.

Economic Outlook

• Projected Growth: India’s real GDP projected to grow between 6.5–7% in 2024-25.
• Investment Drivers: Domestic growth supported by stable consumption and investment demand.
• Policy Implications: Continued focus on capital expenditure and private sector participation needed for sustainable growth.

10. INDIAN ECONOMY NEEDS TO GENERATE NEARLY 78.5 LAKH JOBS ANNUALLY IN THE NON-FARM SECTOR UNTIL 2030 TO CATER TO THE RISING WORKFORCE

(Source – https://pib.gov.in/PressReleseDetail.aspx?PRID=2034952 )

Topic: GS3 – Indian Economy

Context

The Economic Survey 2023-24 emphasises AI’s impact on employment, highlights the need for job creation, supports gig and platform workers’ social security. It also showcases the potential of agro-processing and the care economy in generating quality jobs amidst climate change and corporate sector growth.

Technological and Economic Landscape:

• AI’s Role: AI’s growth, especially in sectors like BPO, poses risks and opportunities for India’s young population. Government initiatives aim to harness AI for productivity.
• Job Creation: India needs to create 78.5 lakh non-farm jobs annually until 2030. Schemes like PLI, MITRA Textile, and MUDRA are key to this goal.
• Corporate Sector: Profitability at a 15-year high in FY24, with profits quadrupling between FY20 and FY23.
• Agro-Processing and Care Economy: Promising sectors for generating quality employment, especially for women and youth.

Gig and Platform Workers:

• Social Security: Code on Social Security (2020) includes gig and platform workers, enhancing their social security measures.
• Gig Economy Growth: Gig workforce expected to grow to 2.35 crore (23.5 million) by 2029–30, forming 6.7% of the non-agricultural workforce.

Economic Metrics and Projections:

• GDP Growth: India’s real GDP grew by 8.2% in FY24, with an expected growth of 6.5-7% in FY25.
• Sectoral Contributions: Agriculture (17.7%), Industry (27.6%), and Services (54.7%) sectors in overall GVA at current prices in FY24.
• Manufacturing and Construction: Both sectors grew by 9.9% in FY24.
• Inflation: Retail inflation declined to 5.4% in FY24 from 6.7% in FY23.
• Fiscal Deficit: Reduced from 6.4% of GDP in FY23 to 5.6% in FY24.
• Capital Expenditure: Increased by 28.2% YoY, reaching ₹9.5 lakh crore in FY24.

Financial Sector:

• Banking Stability: Gross Non-Performing Assets (GNPA) ratio at a 12-year low of 2.8% in March 2024.
• Forex Reserves: Sufficient to cover 11 months of projected imports as of March 2024.
• Service Exports: Reached a new high of USD 341.1 billion in FY24.

Social Welfare and Labour Force:

• Female Labour Force Participation: Increased from 23.3% in 2017-18 to 37% in 2022-23, mainly driven by rural women.
• Direct Benefit Transfer (DBT): ₹36.9 lakh crore transferred since 2013, enhancing fiscal efficiency and minimising leakages.
• Employment Needs: Emphasis on shifting MGNREGS labour to more productive ventures and boosting employment in agro-processing and care sectors.

Climate Change and Green Transition:

• Impact on Jobs: Climate change may lead to job losses and productivity declines. Transition to green technologies and ESG standards can drive job creation.
• Green Investments: Facilitating green transition in businesses can create jobs and support sustainable economic growth.

Care Economy:

• Future Needs: Expanding care requirements for an ageing population by 2050. Developing the care sector can increase female labour participation and create jobs.
• Elderly Care: Formulating a comprehensive policy for senior care is crucial for leveraging the ‘silver dividend’ and boosting GDP growth.

11. INDIAN AGRICULTURE SECTOR IS A SUCCESS STORY: ECONOMIC SURVEY 2023-24

(Source – https://pib.gov.in/PressReleseDetail.aspx?PRID=2034946)

Topic: GS3 – Indian Economy – Agriculture

Context

The Economic Survey 2023-24 emphasises transitioning India’s agriculture from basic food security to nutritional security. It presents five policy recommendations to ensure market functionality for farmers, address climate challenges, enhance irrigation efficiency, and promote climate-resilient farming, highlighting the need for a structural transformation in the sector.

Overview:

• Agricultural Success: India has evolved from a food-deficit nation in the 1960s to a net exporter of agricultural products.
• Shift in Focus: The survey emphasises the transition from basic food security to nutritional security, highlighting the need for diverse and nutritious food options like pulses, millets, fruits, vegetables, milk, and meat.
• Challenges: The sector faces three major challenges: ensuring food and nutritional security, addressing climate change, and sustainable resource use (water, energy, land).

Five Policy Recommendations:

1. Regulate Futures Markets:
   • Avoid banning futures or options during price spikes.
   • Implement intelligent regulatory designs to minimize bureaucratic interference.
2. Export Policies:
   • Invoke export bans only in exceptional circumstances.
   • Allow farmers to benefit from higher international prices.
   • Ensure domestic consumers can substitute non-essential agricultural commodities if needed.
3. Inflation-Targeting Framework:
   • Re-examine the current framework to possibly exclude food prices from inflation targeting.
   • Higher food prices are often supply-induced, not demand-induced.
   • Mitigate hardships from higher food prices for low-income consumers through direct benefit transfers or purchase coupons.
4. Increase Net Irrigated Area:
   • Address the disparity in irrigation efficiency across states.
   • Improve water utilization farming practices and technologies such as drip irrigation and fertigation.
   • Current irrigation efficiency is 30-40% for surface water and 50-60% for groundwater.
5. Climate-Consistent Farming:
   • Promote crop-neutral incentive structures.
   • Address environmental impacts of water-intensive crops like rice and sugarcane.
   • Focus on reducing methane emissions from paddy cultivation.

Sectoral Challenges and Transformation:

• Employment Potential: Agriculture and allied sectors hold potential for significant employment, but this potential is not fully tapped.
• Structural Transformation: A structural overhaul is necessary to address water scarcity and climate change impacts.
• COVID-19 Impact: The pandemic led to a surge in agricultural employment due to reverse migration.
• Value Addition: There has been a decline in the growth rate of value addition in agriculture in FY24.
• Environmental Stress: The summer of 2024 saw extreme heat and rising water stress, necessitating a reassessment of agricultural policies.

Conclusion:

• The Economic Survey calls for a serious and honest evaluation of India’s farm sector policies to address ongoing and future challenges, ensuring sustainability and resilience in the agricultural sector.

12. HEALTH SECTOR VITAL FOR RESILIENT ECONOMY, STATES ECONOMIC SURVEY 2024

(Source – https://pib.gov.in/PressReleseDetail.aspx?PRID=2034933 )

Topic: GS2 – Social Justice – Health

Context

The Economic Survey 2023-24 highlights significant achievements in India’s healthcare sector, focusing on initiatives like AB-PMJAY, Jan Aushadhi Kendras, and the Ayushman Bharat Digital Mission. Key milestones include 49% female beneficiaries, 10,000 Jan Aushadhi Kendras, and the creation of 64.86 crore Ayushman Bharat Health Accounts.

Overview:

• Healthcare System Importance: A resilient economy requires a robust healthcare system interconnected with factors driving inclusive growth.
• Government Commitment: Emphasis on preventive and promotive healthcare, ensuring universal access to quality healthcare services.

Ayushman Bharat Pradhan Mantri Jan Aarogya Yojana (AB-PMJAY):

• Objective: Provides health insurance cover of ₹5 lakh/year for underprivileged families for secondary and tertiary hospitalisation.
• Achievements (as of 8th July 2024):
  • 34.73 crore Ayushman Bharat cards generated.
  • 7.37 crore hospital admissions covered.
  • 49% of beneficiaries are women.

PM Jan Aushadhi Kendras:

• Objective: Provides quality medicines at 50-90% cheaper than market rates.
• Milestone: 10,000th Jan Aushadhi Kendra inaugurated in AIIMS Deoghar.
• Availability: 1965 medicines and 293 surgical equipment.

AMRIT (Affordable Medicines and Reliable Implants for Treatment):

• Objective: Provides subsidised medicines for critical illnesses.
• Network: Over 300 AMRIT pharmacies operating in various States/UTs.

Ayushman Bhav Campaign:

• Launch: September 2023.
• Objective: Saturates selected healthcare services in every village/town, informs citizens about flagship schemes.
• Achievements:
  • 16.96 lakh wellness, yoga, and meditation sessions.
  • 1.89 crore Tele consultations.
  • Free drugs availed by 11.64 crore people.
  • Free diagnostics services availed by 9.28 crore people.
  • Ante-natal check-up and immunisation availed by 82.10 lakh mothers and 90.15 lakh children.
  • Seven types of screening (TB, Hypertension, Diabetes, Oral Cancer, Breast Cancer, Cervical Cancer, Cataract) availed by 34.39 crore people.
  • 2.0 crore patients consulted general OPD, 90.69 lakh patients consulted specialist OPD.
  • 65,094 major surgeries and 1,96,156 minor surgeries conducted.
  • 13.48 crore ABHA accounts created, 9.50 crore Ayushman cards generated, 1.20 lakh Ayushman Sabhas organised.
  • Cumulative footfall of 20.66 crore in 25.25 lakh health melas (as of 31 March 2024).

Ayushman Bharat Digital Mission (ABDM):

• Launch: 2021.
• Objective: Create a national digital health ecosystem.
• Achievements:
  • 64.86 crore Ayushman Bharat Health Accounts (ABHA) created.
  • 3.06 lakh Health Facility Registries generated.
  • 4.06 lakh healthcare professionals registered.
  • 39.77 crore health records linked with ABHA.

eSanjeevani:

• Launch: 2019.
• Objective: Provides telemedicine services for virtual doctor consultations in remote areas.
• Achievements (as of 9th July 2024):
  • Served 26.62 crore patients across 128 specialties.
  • Operates at 1.25 lakh Health & Wellness Centres (Ayushman Arogya Mandirs) through 15,857 hubs.

Conclusion:

• The Economic Survey 2023-24 underscores the significance of these healthcare initiatives in ensuring quality healthcare for all, contributing to the overall resilience and inclusive growth of the Indian economy.

13. SHARE OF MSMEs IN MANUFACTURING OUTPUT STANDS AT 35.4 PER CENT.

(Source – https://pib.gov.in/PressReleseDetail.aspx?PRID=2034923 )

Context

The Economic Survey 2023-24 highlights the MSME sector’s role in manufacturing, productivity growth, and formalisation through Udyam Registration. It emphasises the impact of the ₹1.97 lakh crore PLI scheme on manufacturing and exports. Additionally, it supports the ODOP initiative and Unity Malls to promote local products and artisans.

Overview:

• MSME Sector Significance: Contributes 35.4% to India’s manufacturing output.
• Increased Productivity:
  • GVA per worker: Increased from ₹1,38,207 to ₹1,41,769.
  • GVO per establishment: Increased from ₹3,98,304 to ₹4,63,389.

Udyam Registration Portal:

• Formalisation of MSMEs: 4.69 crore registrations as of 05 July 2024.
• Registration Process: Simple, online, and free based on self-declaration.

Credit Guarantee Fund:

• Union Budget 2023-24 Allocation: ₹9,000 crore to Credit Guarantee Fund Trust.
• Credit Facilitation: Aiming for an additional ₹2 lakh crore in credit with reduced costs.
• Growth: Significant increase in guarantees for MSMEs between FY20 to FY24.

Production Linked Incentive (PLI) Scheme:

• Objective: Enhance manufacturing capabilities and exports for 14 key sectors.
• Outlay: ₹1.97 lakh crore.
• Investment and Impact (till May 2024):
  • Reported Investment: Over ₹1.28 lakh crore.
  • Production/Sales: ₹10.8 lakh crore.
  • Employment Generation: Over 8.5 lakh (direct & indirect).
  • Export Boost: ₹4 lakh crore.
  • Key Sectors: Large-scale electronics manufacturing, pharmaceuticals, food processing, and telecom & networking products.

One District One Product (ODOP) Initiative:

• Unity Mall Concept:
  • Purpose: Promote and sell ODOPs.
  • Locations: State capitals, prominent tourism centres, or financial capitals.
• PM-Ekta Malls:
  • Objective: Link artisans with consumers.
  • Marketplace Creation: Targeting domestic and foreign markets.
• ODOP Sampark Workshops:
  • Collaboration Facilitation: Conducted in 15 states to foster collaboration between the Centre and local sellers.
  • Indigenous Industry Revival: Aim to revive indigenous industries.
• Global Exposure: Showcased India’s unique products at G20 events during India’s G20 Presidency, providing visibility to artisans, sellers, and weavers on the global stage.

Conclusion:

• The Economic Survey 2023-24 underscores the importance of the MSME sector and highlights the significant impact of the PLI scheme on India’s manufacturing capabilities, exports, and employment.
• The initiatives such as the Udyam Registration portal and ODOP aim to formalise and promote MSMEs, driving economic growth and self-reliance (Aatmanirbhar Bharat).

14. DESPITE BEING ONE OF THE FASTEST-GROWING ECONOMIES IN THE WORLD, INDIA’S ANNUAL PER CAPITA CARBON EMISSION IS ONLY ABOUT ONE-THIRD OF THE GLOBAL AVERAGE

(Source – https://pib.gov.in/PressReleseDetail.aspx?PRID=2034915 )

Context

The Economic Survey 2023-24 highlights India’s leadership in climate action, including meeting emission reduction targets early and decoupling economic growth from greenhouse gas emissions. India is aligned with the 2-degree Celsius warming limit and leads various international climate initiatives, showcasing its commitment to sustainable development and climate resilience.

Analysis of the news:

Overview:

• India’s Per Capita Carbon Emission: About one-third of the global average despite being one of the fastest-growing economies.
• G20 Status: India is the only G20 nation on track to meet the 2-degree Celsius warming target.

Key Achievements:

• Early Achievement of NDC Targets:
  • Electrical Power Capacity: Achieved 40% from non-fossil fuel sources in 2021, ahead of the 2030 target.
  • Emission Intensity Reduction: Reduced GDP emission intensity by 33% from 2005 levels by 2019, nine years ahead of the 2030 target.
  • Current Non-Fossil Power Share: 45.4% of installed electricity generation capacity is from non-fossil sources as of May 2024 (up from 32% in April 2014).
  • Carbon Sink Creation: Created a carbon sink of 1.97 billion tonnes CO2 equivalent from 2005 to 2019; on track to create an additional 2.5 to 3.0 billion tonnes by 2030.
• Decoupling Economic Growth from Emissions:
  • GDP Growth: CAGR of about 7% from 2005 to 2019.
  • Emissions Growth: CAGR of about 4% during the same period.
  • Result: Economic growth rate exceeds the growth rate of emissions, indicating successful decoupling.
• Adaptation Expenditure:
  • Increase: Total adaptation-relevant expenditure rose from 3.7% of GDP in 2015-16 to 5.60% in 2021-2022.

Low Carbon Development and Energy Transition:

• Energy Needs Projection: Expected to grow 2 to 2.5 times by 2047.
• Energy Transition Challenges:
  • Land and Water Demand: Expansion of renewable energy is land-intensive and increases demand for water.
  • Battery Storage: Requires critical minerals, which are geographically concentrated.
• Energy Efficiency Initiatives:
  • Energy Conservation Building Code (ECBC): Applied to buildings.
  • Standards and Labelling (S&L): For appliances.
  • Lifestyle for Environment (LiFE) Initiative: Encourages sustainable lifestyles.
  • Perform, Achieve, and Trade (PAT) Scheme: For the industrial sector.
  • Electric Vehicle Charging Infrastructure: For the transport sector.
• Annual Savings and Emissions Reduction:
  • Cost Savings: ₹1,94,320 crore.
  • CO2 Emissions Reduction: Approximately 306 million tonnes.

Finance for Sustainable Development:

• Sovereign Green Bonds:
  • January-February 2023: ₹16,000 crore issued.
  • October-December 2023: ₹20,000 crore issued.
• RBI Initiatives:
  • Green Deposits Framework: Encourages green finance.
  • Priority Sector Lending (PSL) Rules: Promotes renewable energy.

Innovative Green Credit Program:

• Mission LiFE:
  • Objective: Mass movement for climate change and sustainable living based on conservation and moderation.
  • Green Credit Programme (GCP): Incentivizes environment-positive activities through green credits for individuals, communities, and businesses.

International Leadership:

• Key Initiatives Led by India:
  • International Solar Alliance (ISA): Promotes solar energy.
  • One World, One Sun, One Grid (OSOWOG): Facilitates a unified global solar grid.
  • Coalition for Disaster Resilient Infrastructure (CDRI): Enhances infrastructure resilience to disasters.
  • Infrastructure for Resilient Island States (IRIS): Supports island nations in building resilient infrastructure.
  • Leadership Group for Industry Transition (LeadIT): Encourages industrial transitions to low-carbon practices.

Conclusion:

• The Economic Survey 2023-24 highlights India’s remarkable progress in climate action, achieving key targets ahead of schedule, successfully decoupling economic growth from emissions, and leading several international climate initiatives. The emphasis on energy efficiency, sustainable finance, and innovative programs like Mission LiFE demonstrates India’s commitment to a low-carbon future and global climate leadership.

Prelims Facts

1. Teenager survives infection from ‘brain-eating’ amoeba

(Source – The Hindu, International Edition – Page No. – 3)

Context

A 14-year-old from Kozhikode, Kerala, recovered from primary amoebic meningoencephalitis (PAM), a rare infection caused by Naegleria fowleri. Treated at Baby Memorial Hospital following CDC guidelines, his recovery is unprecedented in India, with only eight global cases reported. Health Minister Veena George oversaw the treatment protocol.

Amoebic Meningoencephalitis (PAM):

• Definition: Amoebic Meningoencephalitis (PAM) is a rare but severe brain infection caused by the amoeba Naegleria fowleri.
• Transmission: Typically acquired from warm freshwater sources, such as hot springs or poorly maintained swimming pools, entering the brain through the nasal passages.
• Symptoms: Initial symptoms include severe headache, fever, nausea, vomiting, and stiff neck, progressing to altered mental status, seizures, and coma.
• Diagnosis: Confirmed through cerebrospinal fluid analysis, PCR testing, and brain imaging.
• Treatment: Early treatment with antifungal drugs like miltefosine and amphotericin B is crucial but often ineffective; mortality rate is high.
• Prevention: Avoiding exposure to warm freshwater in areas where the amoeba is known to be present and using nose plugs during swimming.

2. In painstaking steps, scientists piece the neutrino universe together

(Source – The Hindu, International Edition – Page No. – 7)

Context

Neutrinos, abundant and elusive particles with mass, are challenging to study due to their rare interactions with matter. The NOvA experiment and other global studies seek to determine their mass hierarchy and potential applications in communication. India’s Neutrino Observatory project faces delays, impacting its contribution to this research.

Analysis of the news:

• Neutrinos Overview: Neutrinos are subatomic particles with no electric charge, small mass, and a left-handed spin. They are second-most abundant after photons and the most abundant particles making up matter.
• Detection Challenges: Neutrinos interact with matter very rarely, making them difficult to study. Experiments use large detectors with fine tracking capabilities to increase interaction rates.
• NOvA Experiment: Located in Minnesota, NOvA creates a neutrino beam aimed at a 14,000-tonne detector 800 km away. Recent data from NOvA show greater precision and twice as much data as before, helping to determine neutrino mass hierarchy.
• Mass Discovery: Neutrinos were once thought to be massless. Evidence from experiments in the late 1990s showed that neutrinos have mass and can change types (neutrino oscillation), challenging the Standard Model of particle physics.
• Neutrino Oscillation: Neutrinos change types as they travel, with theories predicting two mass hierarchies: normal (one type much heavier) and inverted (one type lighter). NOvA data suggests normal hierarchy, but not conclusively.
• Applications: Neutrinos can pass through matter easily, potentially enabling communication across vast distances. Neutrino astronomy provides insights into cosmic events like supernovae.
• Global Research: Major neutrino experiments include Super-K III, Sudbury Neutrino Observatory, MiniBOONe, and IceCube. India’s Neutrino Observatory faces delays but aims to contribute to this field.

3. How and when can a bill be defined as a money Bill?

(Source – The Hindu, International Edition – Page No. – 10)

Context

The CJI has agreed to review petitions challenging the classification of laws as money Bills. The classification and certification of money Bills by the Lok Sabha Speaker, including cases like the Aadhaar Act and Finance Act, have been contentious, with significant legal implications and procedural debates.

Analysis of the news:

• Definition of Money Bills: As per Article 110(1)(a) to (f) of the Indian Constitution, a Money Bill contains provisions solely related to:
  • Taxation
  • Government borrowing
  • Custody and payment of funds from the Consolidated Fund
  • Appropriation from the Consolidated Fund
  • Expenditure charged on the Consolidated Fund
  • Receipts and auditing of accounts of the Union or States
  • Article 110(1)(g) allows incidental matters to be included.
• Categories of Financial Bills:
  • Category I: Includes any of the six Money Bill matters along with other provisions.
  • Category II: Does not include the six Money Bill matters but involves expenditures from the Consolidated Fund.
• Procedure for Money Bills:
  • Introduced only in the Lok Sabha.
  • Rajya Sabha can recommend changes within 14 days, which the Lok Sabha may accept or reject.
  • The Speaker of the Lok Sabha certifies a bill as a Money Bill.
  • This process reflects the UK’s tradition of limiting the unelected House’s power over the Budget.
• Controversial Cases:
  • Aadhaar Act (2016): The Act, which included provisions beyond taxation and spending, was classified as a Money Bill. The Supreme Court upheld this with a majority, though the current CJI dissented.
  • Finance Act (2017): Amendments related to tribunals, classified as a Money Bill, were struck down in Rojer Mathew vs. South Indian Bank (2019). The case highlighted the need for a larger Bench to address the definition of a Money Bill, as the term ‘only’ was not adequately considered in previous rulings.
• Current Issue: The Chief Justice of India has agreed to list petitions challenging the use of the Money Bill route for contentious laws, reflecting ongoing debates about its appropriate application.

4. Over 15% of PMAY-Urban Beneficiaries from Minority Communities, Says Government

(Source: Indian Express; Section: In Parliament; Page: 06)

Context:

The Ministry of Housing and Urban Affairs has reported that a little over 15% of beneficiaries who have received houses under the Pradhan Mantri Awas Yojana-Urban (PMAY-U) scheme are from religious minority communities. This information was disclosed in a reply to a question posed in the Rajya Sabha. The PMAY-U, launched in 2015, aims to provide affordable housing to urban poor based on proposals submitted by states and Union Territories (UTs).

Analysis of News:   

About Pradhan Mantri Awas Yojana:

• Pradhan Mantri Awas Yojana (PMAY) is a credit-linked subsidy scheme initiated to provide affordable housing to low and moderate-income residents across the country.
• The newly formed government has approved the proposal to provide 3 crore additional rural and urban houses under PMAY.
• The scheme has two components: PMAY-U for the urban poor and PMAY-G and PMAY-R for the rural poor.

PMAY-U (Urban):

• Objective: To provide housing for all in urban areas.
• Beneficiaries: Economically Weaker Section (EWS), Low-Income Group (LIG), and Middle-Income Group (MIG).

Subsidy Schemes:

• Credit Linked Subsidy Scheme: Offers interest subsidy on home loans for EWS, LIG, and MIG categories.
• In-Situ Slum Redevelopment: Utilizes land as a resource to provide houses to eligible slum dwellers.
• Affordable Housing in Partnership: Promotes partnerships with public and private sectors to provide affordable housing.
• Beneficiary-Led Construction: Provides financial assistance to individuals to construct or enhance their own houses.

PMAY-G (Gramin):

• Objective: To provide a pucca house with basic amenities to all rural families who are homeless or living in kutcha or dilapidated houses.
• Beneficiaries: Identified using the Socio-Economic and Caste Census (SECC) 2011.

Features:

• Financial Assistance: Rs. 1.2 lakh in plain areas and Rs. 1.3 lakh in hilly, difficult, and Integrated Action Plan (IAP) areas.
• Construction: Houses are to be constructed by beneficiaries with technical assistance from the government.
• Convergence with other schemes: Encourages convergence with other schemes like Swachh Bharat Mission (SBM) for toilet construction, and MGNREGA for wage employment.

Statistics on Sanctioned and Completed Houses

• As of July 15, a total of 118.64 lakh houses had been sanctioned under PMAY-U. Out of these, 85.04 lakh houses have been completed or handed over to beneficiaries.
• This reflects significant progress in the scheme, though there remains a gap between the number of houses sanctioned and those completed.

Breakdown of Minority Beneficiaries

Distribution among Minority Communities

• Of the total sanctioned houses, 15.15% or approximately 16 lakh houses were allocated to beneficiaries from minority communities.
• Specifically, 12.74% (13.45 lakh) were for Muslim beneficiaries, 1.64% (1.73 lakh) for Christians, 0.47% (49,670) for Sikhs, 0.19% (19,707) for Buddhists, 0.10% (10,457) for Jains, and 0.01% (1,127) for Zoroastrians.
• These figures provide a detailed breakdown of the distribution of houses among different minority groups.

Extension and Implementation of the Scheme

Extension of PMAY-U Deadline

• The PMAY-U scheme, initially set to end in 2022, has been extended to December 31, 2024.
• This extension allows for the completion of houses that were sanctioned until March 31, 2022. The extension is crucial for ensuring that the intended beneficiaries receive their homes despite delays.

Efforts to Accelerate Construction

• The Ministry emphasized that states and UTs have been advised to expedite construction.
• The aim is to complete sanctioned houses/projects within the stipulated timelines as outlined in the Detailed Project Report (DPR).
• This directive underscores the government’s commitment to ensuring timely delivery of houses under the scheme.

5. AI Breakthrough: Predicting Rogue Waves to Enhance Maritime Safety

(Source: Indian Express; Section: Explained)

Context:

Rogue waves are unusually large waves that pose significant threats to ships, coastal infrastructure, and human lives. Traditionally, there has been no reliable method to forecast these waves, leading to many dangerous situations.

Analysis of News:   

What is Rogue Waves?

• Rogue waves can double the size of surrounding waves, defying average sea state conditions.
• They often form when swells from distant weather systems converge or when ocean currents compress swells.
• Despite awareness of their potential occurrence, the lack of real-time forecasting has had severe consequences, resulting in numerous casualties and the loss of ships.

Promise of AI

• Researchers at the University of Maryland have developed an AI program to predict rogue waves using data from 172 ocean buoys.
• This AI can identify wave patterns that precede rogue waves, offering predictions up to five minutes in advance.

Methodology and Results

• The AI was trained with 20-minute samples of wave data, distinguishing between patterns leading to rogue waves and those that did not.
• The program predicted 75% of rogue waves one minute in advance and 73% five minutes ahead.
• Importantly, the tool showed promise for universal application, predicting waves in diverse ocean conditions.

Future Implications

• The researchers suggest that incorporating additional data such as water depth and wind speed could enhance the AI’s accuracy.
• They envision future advancements in AI architectures might lead to nearly perfect predictions, revolutionizing maritime safety.

Conclusion

• This breakthrough study, published in Scientific Reports, offers hope for improving the safety of maritime operations and mitigating the risks posed by rogue waves.