Current Affairs

Archives (PRELIMS & MAINS Focus)   POLLING STATIONS Syllabus Prelims – Polity Context:  During the ongoing Lok Sabha elections, 96.8 crore electors are enrolled to vote at 10.5 lakh polling stations spread out nationwide. Background:- The list of polling stations undergoes verification and updation during annual electoral roll revisions. Key Takeaways Under Section 25 of the Representation of the People Act, 1951 (RPA), the district election officer (DEO) is assigned the responsibility to set up and publish the list of polling stations in their district. Setting up polling stations: norms and principles There are some principles on the basis of which polling stations are set up. These include ensuring that voters do not have to travel more than two km to cast their vote, a station has a minimum area of 20 sq m, a station serves at most 1,500 electors, and a village with over 300 voters is provided with a polling station. These principles, however, are not set in stone. Polling stations can even cater to less than 300 voters in case access is a problem, say in rugged terrain. For instance, Arunachal Pradesh’s Malogam polling station caters to only a single voter. Conversely, in cases where the number of electors exceeds 1,500, auxiliary polling stations are set up, preferably in the same building. In urban areas, one building can have a maximum of four polling stations, whereas in rural areas, it can have at most two. Locations for polling stations are chosen carefully, preferably in government or semi-government institutions. Private buildings are avoided unless absolutely necessary — they can be requisitioned with the written consent of the owner, or forcefully under Section 160 of the RPA. Layout and some facilities There are separate entrance and exit points for voters, even if only one door is available. This is done with temporary fencing using bamboo and ropes. The voting compartment, constructed from opaque corrugated plastic sheet or steel grey flex board, measures at least 24 x 24 x 30 inches (length × width × height), and is positioned away from windows or doors. People inside a polling station, voting day restrictions Only specific individuals are permitted access inside a polling station. These include registered electors, polling officers, candidates, one polling agent per candidate at a time, authorised media personnel, public servants on election duty, ECI-appointed observers, micro observers, videographers, photographers, and webcasting staff for critical/sensitive polling stations, a child in arms accompanying an elector, a person assisting a blind or infirm voter, and any others admitted by the Presiding Officer for voter identification or assistance purposes, whenever required. A polling party comprises a Presiding Officer and three Polling Officers. The first Polling Officer verifies the elector’s identity, the second applies indelible ink on their left index finger, maintains the voters’ register, and issues voter slips. The third Polling Officer takes back the voter slip issued by the second polling officer, manages the EVM’s control unit, and ensures that an elector has been properly inked before being allowed to vote. There is also a prohibition on any political propaganda, use of cameras, mobile phones, and canvassing within a 100 metre radius of the polling station, with a penalty of arrest without warrant under Section 130 of the RPA. Candidates can set up their booths beyond 200 m of the polling station, and there are also restriction on the use of loudspeakers. Source: Indian Express MERCURY POLLUTION Syllabus Prelims – Environment Context: The Governments of Albania, Burkina Faso, India, Montenegro and Uganda have united to combat chemical pollution, launching a $134-million “Phasing out mercury measuring devices in healthcare project” to eliminate the use of mercury in medical devices. Background: Mercury is one of the top 10 chemicals of major public health concern, according to WHO. Released to the environment from a variety of human activities, it is transported around the globe and bioaccumulates in the food chain.People are exposed to mercury primarily through eating contaminated fish or breathing mercury vapour directly.Children, infants and fetuses are at the highest risk because of their developing nervous systems. About Mercury Mercury is a chemical element symbolized by Hg on the periodic table. It’s the only common metal that is liquid at ordinary temperatures.It’s heavy, silvery-white, and slowly tarnishes in moist air. Mercury Pollution Mercury occurs naturally in the earth’s crust, but human activities, such as mining and fossil fuel combustion, have led to widespread global mercury pollution. Mercury is a persistent, bioaccumulative, toxic pollutant. When released into the environment, it accumulates in water laid sediments where it converts into toxic methylmercury and enters the food chain. Mercury contamination is a significant public health and environmental problem because methylmercury easily enters the bloodstream and affects the brain. Mercury is introduced into the environment in three ways. First, mercury is emitted into the air naturally from volcanoes, the weathering of rocks, forest fires, and soils. Second, mercury is emitted into the air from the burning of fossil fuels and municipal or medical waste. Lastly, mercury can be re-introduced into the environment through natural processes such as evaporation of ocean water. Human exposure to mercury occurs from eating fish and shellfish contaminated with methylmercury. Mercury can also be found in beauty products, particularly skin-lightening creams, but also eye make-up and eye-cleansing products6. Globally, artisanal and small-scale gold mining is the largest source of anthropogenic mercury emissions (37.7%), followed by stationary combustion of coal (21%) Medical thermometers and sphygmomanometers (devices which measure blood pressure) contain mercury and are harmless as long as they remain intact. However, when these devices break or are taken out of service, the mercury they contain can escape into the environment where it vaporises, exposing health care workers and patients to harmful fumes. Inhalation can cause damage to the lungs, kidneys and nervous system, while the waste generated can contaminate the immediate area of the spill, as well as a facility’s wastewater. Phasing out mercury measuring devices in healthcare project Led by the United Nations Environment Programme (UNEP), with funding from the Global Environment Facility (GEF) and executed by

Archives (PRELIMS & MAINS Focus)   RUSSIA Syllabus Prelims – Geography Context: Presidents Vladimir Putin and Xi Jinping met at the historic Great Hall of the People, seat of power of the Chinese Communist Party, on Thursday (May 16), where a welcome ceremony for Russia’s leader included a guard of honour by China’s People’s Liberation Army (PLA). Background:- Putin’s two-day visit to China comes when Russia has taken a firm grip on the course of the war in Ukraine. Xi has just returned from a tour of Europe where he met with the President of France, as well as the leaders of Hungary and Serbia, both of whom are friends with Putin. About Russia Russia or the Russian Federation is a country spanning Eastern Europe and North Asia. It is the largest country in the world by area, extending across eleven time zones and sharing land borders with fourteen countries. Russia is bounded to the north and east by the Arctic and Pacific oceans, and it has small frontages in the northwest on the Baltic Sea at St. Petersburg and at the detached Russian oblast (region) of Kaliningrad (a part of what was once East Prussia annexed in 1945), which also abuts Poland and Lithuania. To the south Russia borders North Korea, China, Mongolia, and Kazakhstan, Azerbaijan, and Georgia. To the southwest and west it borders Ukraine, Belarus, Latvia, and Estonia, as well as Finland and Norway. Russia has a maximum east-west extent of some 5,600 miles (9,000 km) and a north-south width of 1,500 to 2,500 miles (2,500 to 4,000 km). It is the world’s ninth-most populous country and Europe’s most populous country. Russia is a highly urbanized country consisting of 16 population centers with over million inhabitants. Its capital as well as its largest city is Moscow. Saint Petersburg is Russia’s second-largest city and cultural capital. Once the preeminent republic of the Union of Soviet Socialist Republics (U.S.S.R.; commonly known as the Soviet Union), Russia became an independent country after the dissolution of the Soviet Union in December 1991. Russia has been militarily involved in a number of conflicts in former Soviet states and other countries, including its war with Georgia in 2008 and annexation of Crimea in 2014 from neighbouring Ukraine, followed by the further annexation of four other regions in 2022 during an ongoing invasion. Russia possesses the largest stockpile of nuclear weapons and has the third-highest military expenditure. The country is a permanent member of the United Nations Security Council; a member state of the G20, SCO, BRICS, APEC, OSCE, and WTO; and the leading member state of post-Soviet organisations such as CIS, CSTO, and EAEU/EEU. Russia contains Europe’s longest river, the Volga, and its largest lake, Ladoga. Russia also is home to the world’s deepest lake, Baikal, and the country recorded the world’s lowest temperature outside the North and South poles. There is an enormous variety of landforms and landscapes, which occur mainly in a series of broad latitudinal belts. Arctic deserts lie in the extreme north, giving way southward to the tundra and then to the forest zones, which cover about half of the country and give it much of its character. On the basis of geologic structure and relief, Russia can be divided into two main parts—western and eastern—roughly along the line of the Yenisey River. In the western section, which occupies some two-fifths of Russia’s total area, lowland plains predominate over vast areas broken only by low hills and plateaus. In the eastern section the bulk of the terrain is mountainous, although there are some extensive lowlands. Given these topological factors, Russia may be subdivided into six main relief regions: the Kola-Karelian region, the Russian Plain, the Ural Mountains, the West Siberian Plain, the Central Siberian Plateau, and the mountains of the south and east. Source: Britannica CHAR DHAM YATRA Syllabus Prelims – Current Event Context: With nearly twice the number of pilgrims embarking on the Char Dham yatra in Uttarakhand since it commenced on May 10, the state government has reported the death of 11 pilgrims in the first five days. Background: The pilgrimage to Yamunotri, Gangotri, and Kedarnath Dham commenced on May 10, while the doors to Badrinath Dham opened on May 12. Over 1.55 lakh pilgrims have already journeyed to Kedarnath, over 70,000 to Yamunotri, and over 63,000 to Gangotri. Within just three days, Badrinath Dham has welcomed over 45,000 pilgrims. About CHAR DHAM YATRA The Chota Char Dham Yatra is a significant pilgrimage in India, particularly in the state of Uttarakhand, also known as Devbhoomi or the Land of Gods. The term ‘Char Dham’ in Hindi translates to ‘four religious destinations’. This Yatra or pilgrimage is a tour of four holy sites nestled high up in the Himalayas.The pilgrimage sites are Yamunotri and Gangotri in Uttarkashi district, Kedarnath in Rudraprayag and Badrinath in Chamoli. While Kedarnath is the highest at around 11,700 ft, Gangotri is the lowest at around 10,200 ft. Yamunotri: The Yamunotri temple is lodged in a narrow gorge close to the source of River Yamuna, the second-most sacred Indian river after River Ganga, in Uttarkashi district. It is dedicated to Goddess Yamuna. Gangotri: Located in the Uttarkashi district, Gangotri is dedicated to Goddess Ganga, the most sacred of all Indian rivers. Kedarnath: Located in the Rudraprayag district, Kedarnath is dedicated to Lord Shiva. Badrinath: Home to the sacred Badrinarayan Temple, Badrinath is dedicated to Lord Vishnu. The Yatra is believed to be completed in a clockwise direction, starting from Yamunotri, proceeding towards Gangotri, onto Kedarnath, and finally ending at Badrinath. The high-altitude shrines remain shut for around six months every year, opening in summers (April or May) and closing with the onset of winter (October or November). Some devotees even do a Do Dham Yatra or a pilgrimage to two shrines – Kedarnath and Badrinath. Additional Information: The Char Dham Yatra in India comprises Chota Char Dham and the Bada Char Dham. While the Chota Char Dham involves four sacred sites—Yamunotri, Gangotri, Kedarnath, and Badrinath—nestled in the picturesque Himalayan peaks, the Bada Char Dham consists of four dhams of utmost significance—Badrinath, Rameswaram, Puri, and Dwarka. Source: Indian Express NATIONAL PHARMACEUTICAL PRICING AUTHORITY (NPPA) Syllabus Prelims – Current Event Context: The National Pharmaceutical Pricing Authority (NPPA) has announced a lowering of retail prices for 41 essential drugs and revised ceiling rates of seven scheduled formulations. Background: The revision of ceiling prices is a routine exercise undertaken by the NPPA. About NATIONAL PHARMACEUTICAL PRICING AUTHORITY (NPPA) : NPPA was constituted by the Government of India in 1997 as an attached office of the

Archives (PRELIMS & MAINS Focus)   FUTURES & OPTIONS TRADING Syllabus Prelims – Economy Context: A frenzied growth in India’s equity options market, which clocked a record 85 billion trades last year and accounted for 84 percent of all equity option contracts traded in 2023, is unnerving policymakers and regulators. Background:- Retail investors now make up over 35 percent of options trades, undeterred by the fact that 9 out of 10 individual traders in the equity futures and options (F&O) segment are recorded to have incurred losses. About FUTURES & OPTIONS TRADING Futures and options are two types of financial derivatives that derive their value from an underlying asset such as shares, stock market indices, commodities, ETFs, and more. Futures Futures are contracts that obligate the buyer to purchase a specific asset, and the seller to sell and deliver that asset, at a specific future date. They are typically used to hedge against risk or for speculation. Key Features: Standardization: Futures contracts are standardized in terms of contract size, expiration date, and other details, facilitating easy trading on exchanges. Obligation: Both parties in a futures contract are obligated to fulfill the contract at expiration. This means the buyer must purchase, and the seller must sell the asset at the agreed-upon price. Margin Requirements: Traders must maintain a margin account, which requires an initial margin (a percentage of the contract’s value) and maintenance margin (minimum balance to keep the position open). Options Options, on the other hand, give the buyer (of an options) the right, but not the obligation, to buy (or sell) an asset at a specific price at any time during the life of the contract. They are often used for hedging, speculation, or arbitrage. Key Features: Types: There are two types of options: call and put. A call option confers the right to buy a stock at the strike price before the agreement expires. A put option gives the holder the right to sell a stock at a specific price. Right, Not Obligation: The buyer has the right but is not obligated to exercise the option.The seller, however, has the obligation to fulfill the contract if the buyer exercises the option. Premium: The buyer of an option pays a premium to the seller for this right. The premium is the price of the option. Strike Price: This is the price at which the option holder can buy (call) or sell (put) the underlying asset. Expiration Date: Options have a finite life and must be exercised on or before their expiration date. Here are some key differences between futures and options: Obligation: A futures contract requires a buyer to purchase the underlying security or commodity—and a seller to sell it—on a specific future date, unless the holder’s position is closed earlier. An options contract, however, gives an investor the right, but not the obligation, to buy (or sell) shares at a specified price at any time before the contract’s expiration. Risk: Futures contracts carry a high level of risk because they require the holder to buy or sell the asset in the future, regardless of its current market price. Options contracts, on the other hand, limit potential loss to the cost of the option premium. Cost:Futures require margin and can involve significant capital commitment.Options require the payment of a premium, which is generally lower than the margin for futures. Source: Indian Express CHIR PINE Syllabus Prelims – Environment Context: As forest fires rage through Uttarakhand, the chir pine with its inflammable leaves or needles has been in the news for less benign reasons. Background: After a government ban in 1981 on felling of trees over 1,000 mt above sea level, the chir got an opportunity to spread lower in the foothills where the sal grows and above too, among the broad-leaved trees because it’s the nature of the chir to colonise. About CHIR PINE A conifer that can grow up to a height of about 30 metres, the chir pine covers almost 16.5 per cent of Uttarakhand’s total forested area. It owes its scientific name, Pinus roxburghii, to William Roxburgh, a Scottish doctor and naturalist, who went on to become superintendent of the East India Company’s botanic garden at Calcutta and who is widely regarded as the father of Indian botany. Native to the Himalayas, chir pine or the longleaf Indian pine, was not introduced to the Himalayas by the British, as is often believed, though they certainly gave it preference for its commercial use, mainly lumber and resin. Found all over the Western Himalayas at an elevation between 1,000 and 2,000 metres, it covers large parts of Garhwal and Kumaon where it can be seen growing on steep slopes and can be identified by its three needles and its round cone (unlike the elongated cones of other pines). Chir Pine does not allow any vegetation to grow around it as it makes the soil more acidic through its fallen needles. The accumulating carpet of needles on the forest floor under these trees makes conditions unfavourable for many common plants and trees to grow A few years ago, the Uttarakhand government had considered cutting pine trees to combat forest fires, an idea it later abandoned. For the short-term and long-term management of the forests in Uttarakhand, the dense chir pine forest, more like monocultures, must be converted into mixed forests. More broad-leaf species should be promoted and the dense chir pine forests should be effectively managed and their wood used. The state could effectively manage the chir forests and earn some revenue as well. The needles of chir falling onto the forest floor both suppressed the grass and rendered the hillside dangerous for cattle. Thus, in late April or early May, villagers resorted to the time-honoured remedy of fire to obtain a fresh crop of grass. Steps taken by the British to stop this practice often sparked popular protests. While its needles tend to catch fire easily because of their high resin content, the bark of the tree doesn’t catch fire easily since it has a very high

Archives (PRELIMS & MAINS Focus)   IRAN Syllabus Prelims – Geography Context: Iranian President Ebrahim Raisi’s death in a chopper crash has come at a time when Tehran’s role in the peace and stability in the region has been under a sharp focus. Background:- The focus on Iran in recent months has been due to the events that took place since October 7, when Hamas brutally attacked Israelis on their soil, and the Israeli response on Gaza has been perceived to be hugely disproportionate. India, which considers Iran to be part of its extended neighbourhood, has been watching Iran’s dynamics in the region quite closely and cautiously. About IRAN Geography: Iran is bordered by Iraq to the west and Turkey to the northwest, Azerbaijan, Armenia, the Caspian Sea and Turkmenistan to the north, Afghanistan to the east, Pakistan to the southeast, the Gulf of Oman and the Persian Gulf to the south. Population: With a mostly Persian-ethnic population of almost 90 million, Iran ranks 17th globally in both geographic size and population. Government: Iran is a unitary presidential theocratic Islamic republic. The Supreme Leader is Ali Khamenei. Economy: Iran’s GDP (PPP) in 2024 is estimated to be $1.855 trillion, ranking 19th globally. Languages: The official language is Persian, but there are several recognized regional languages. Iran is a major regional power, due to its large reserves of fossil fuels, including the world’s second largest natural gas supply, third largest proven oil reserves, its geopolitically significant location, its military capabilities, its regional influence, and its role as the world’s focal point of Shia Islam. Iran is an active and founding member of the United Nations, the NAM, the ECO, the OIC and the OPEC. It is a full member of both the Shanghai Cooperation Organisation and BRICS. Source: Indian Express INDIAN COUNCIL OF MEDICAL RESEARCH (ICMR) Syllabus Prelims – Current Event Context: The Indian Council of Medical Research (ICMR) has distanced itself from the Banaras Hindu University (BHU) researchers for “incorrectly” associating it with an observational study on the side effects of the Covid-19 vaccine Covaxin. Background: The Indian Council of Medical Research (ICMR), the apex body in India for the formulation, coordination and promotion of biomedical research, is one of the oldest and largest medical research bodies in the world. About INDIAN COUNCIL OF MEDICAL RESEARCH (ICMR) In 1911, the Government of India set up the Indian Research Fund Association (IRFA) with the specific objective of sponsoring and coordinating medical research in the country. After independence, several important changes were made in the organisation and the activities of IRFA. It was redesignated as the Indian Council of Medical Research (ICMR) in 1949, with a considerably expanded scope of functions. Mandate Apex body in India for formulation, coordination and promotion of biomedical research Conduct, coordinate and implement medical research for the benefit  of the Society Translating medical innovations in to products/processes and introducing them in to the public health system Additional Information The ICMR is funded by the Government of India through the Department of Health Research, Ministry of Health and Family Welfare. In 2007, the organization established the Clinical Trials Registry – India, which is India’s national registry for clinical trials. ICMR’s 26 national institutes address themselves to research on specific health topics like tuberculosis, leprosy, cholera and diarrhoeal diseases, viral diseases including AIDS, malaria, kala-azar, vector control, nutrition, food & drug toxicology, reproduction, immuno-haematology, oncology, medical statistics, etc. Its 6 regional medical research centres address themselves to regional health problems, and also aim to strengthen or generate research capabilities in different geographic areas of the country Governance The governing body of the council is presided over by the Union Health Minister. It is assisted in scientific and technical matters by a scientific advisory board comprising eminent experts in different biomedical disciplines. The board, in its turn, is assisted by a series of scientific advisory groups, scientific advisory committees, expert groups, task forces, steering committees etc. which evaluate and monitor different research activities of the council. Source: Hindu Medium, Small, and Micro Enterprises (MSMEs) Syllabus Prelims & Mains – Economy Context: The government is considering options to relax the 45-day payment rule to MSMEs that has come into effect from April 1, 2023, as the rule may disrupt business practices due to its severity and lack of clarity. Background: According to Section 43B(h) of the Income Tax Act, introduced through the Finance Act 2023, if a larger company does not pay an MSME on time — within 45 days in case of written agreements — it cannot deduct that expense from its taxable income, leading to potentially higher taxes.MSMEs fear that due to this provision, large buyers could cold-shoulder MSME suppliers and start buying either from those MSMEs that are not registered with Udyam or from non-MSMEs. About MSMEs: Micro, Small, and Medium Enterprises are better known by the acronym MSME. They silently operate across various areas in India, contributing significantly to the country’s GDP. More than 6 crore MSMEs serve as the backbone of our economy, accounting for approximately 30% of the GDP, 45% of manufacturing output, and around 48% of exports. Remarkably, over 11 crore people find employment within the MSME sector, making it an essential driver of economic growth. Recent Changes: As of July 1, 2020, the definition of MSMEs was revised to align with market conditions and ease of doing business. The new criteria are based on investment amount and turnover: Micro: Investment up to ₹1 crore and turnover up to ₹5 crore. Small: Investment up to ₹10 crore and turnover up to ₹50 crore. Medium: Investment up to ₹50 crore and turnover up to ₹250 crore. Importantly, exports turnover is excluded from the turnover calculation, encouraging MSMEs to explore international markets without losing benefits. Issues associated with the MSMEs: Lack of skilled labour: MSMEs often struggle to find skilled workers, which can make it difficult for them to grow and expand their businesses. Bureaucratic red tape: MSMEs have to navigate a complex web of regulations and bureaucratic procedures, which can be time-consuming and costly. Competition from larger companies: MSMEs in India often have to compete with larger, more established companies, which can make it difficult for them to succeed in the market. Access to finance:

Archives (PRELIMS & MAINS Focus)   PARA DIPLOMACY Syllabus Mains – GS 2 Context: In its manifesto, the Shiromani Akali Dal (SAD) promised to get back Kartarpur Sahib, the final resting place of Guru Nanak, less than five kilometres across the Pakistan border. The SAD is promising to work with the Centre to negotiate an “exchange of territory” with Pakistan, in return for Kartarpur Sahib. Background:- Reopening the territorial settlement in the Punjab will be a nightmare few would want to think of. According to some experts, more practical than reworking the territorial disposition of boundaries would be changing the nature of these frontiers that have long been zones of military confrontation and not commercial cooperation.The SAD also demands reopening the Attari and Hussainiwala borders with Pakistan for trade and tourism to usher in economic prosperity. Key takeaways The SAD’s proposals on engaging Pakistan bring to the fore the idea of “para diplomacy” or “sub-state diplomacy”. Para diplomacy involves formal interactions between entities below the federal level — provincial and local governments — in pursuit of shared national goals. The conduct of para diplomacy is not in opposition to the national governments, which have a monopoly over the engagement with other sovereigns. Federal governments are quite nervous about sharing, let alone ceding, authority to engage across borders, especially when there is a danger of cross-border criminal and terror networks casting a shadow over the process. Para diplomacy, conducted in tandem with the central government, can often produce openings that can’t be generated between the congealed positions of the national governments. Not all Indian border states have been as keen on cross-border cooperation as Punjab. The context on each border is different with unique burdens of history and different degrees of political difficulty. West Bengal, under Mamata Banerjee, for example, had, in fact, complicated Delhi’s engagement with Dhaka. The Tamil parties in Chennai have often exercised their veto over Delhi’s ties with Colombo.UPA government (2004-14) had to often walk back from productive initiatives with the neighbours because of resistance from its coalition partners in the states. The next government must return to reconsidering para diplomacy as a valuable tool of India’s statecraft. To succeed, India’s neighbourhood policy must work with the interests of the people in the border provinces. This, in turn, demands the construction of a consensus between the centre and the regional parties in the border provinces on developing a productive relationship with the neighbours. Additional Information: Even though SAD has asked for economic cooperation, there are multiple barriers Political and Military Resistance: The Pakistani military and political leadership oppose economic engagement with India due to the unresolved Kashmir conflict. Despite occasional positive gestures from political establishment, internal opposition often swiftly quashes any initiatives. Historical Animosity and Distrust: The deep-rooted distrust stemming from the 1947 partition and subsequent wars continues to hinder economic cooperation. These historical grievances shape national narratives and influence policy decisions, making it difficult to commit to economic collaboration without resolving underlying political tensions. Economic Benefits vs. Political Obstacles: Despite recognizing the economic benefits, Pakistan’s leadership remains hesitant to engage with India due to historical conflicts and the Kashmir issue. Although the Pakistani business community has advocated for reopening trade, these appeals are often stifled by the political and military elite prioritizing geopolitical concerns over economic pragmatism. Security Concerns: Pakistan’s support to cross-border terrorism and frequent border skirmishes contribute to a climate of hostility.Perpetual state of military alert hampers trade and complicates efforts to establish a stable economic partnership. Source: Indian Express PROJECT UDBHAV Syllabus Prelims – Current Event Context:  Army chief Gen Manoj Pande talked about Project Udbhav at a conference titled ‘Historical Patterns in Indian Strategic Culture’ held recently. Background: Launched last year, this project aims to enrich the nation’s outlook in the defence domain by integrating India’s ancient strategic acumen into contemporary military practices, making the force “future-ready”. About Project UDBHAV ‘Udbhav’, which translates to ‘origin’ or ‘genesis’, acknowledges the vintage scriptures and writings of our Nation, that span centuries in the past and contain profound knowledge that can benefit modern military strategies. The objective of the Project is to synthesize ancient wisdom with contemporary military practices, forging a unique and holistic approach to address modern security challenges. It is a visionary initiative by the Indian Army that seeks to integrate age-old wisdom with contemporary military pedagogy. Project UDBHAV will facilitate in-depth understanding of our ancient knowledge systems and philosophies and also aim to comprehend their enduring connect, relevance and applicability in the modern day. Literature like Chanakya’s Arthashastra underscores the importance of strategic partnerships, alliances and diplomacy, aligning with modern military practices such as international cooperation and soft power projection. Chanakya’s teachings on statecraft and warfare are studied by various institutions the world over. Similarly, the wisdom of Thirukkural, the classical Tamil text authored by Thiruvalluvar, the Tamil philosopher, advocates ethical conduct in all endeavours, including warfare. This aligns with modern military codes of ethics of just war and principles of Geneva Convention. Apart from ancient texts, a study of prominent military campaigns and leaders is also important. The empires of Chandragupta Maurya, Ashoka and Cholas flourished and expanded in influence, during their times. There are examples of the Ahom Kingdom too, which successfully ruled for 600 years, repeatedly defeating the Mughals. The Naval Battle of Saraighat in 1671, led by Lachit Borphukan, stands as a stellar example of the use of clever diplomatic negotiations to buy time, employ psychological warfare, focus on military intelligence and exploiting the strategic weakness of the Mughals. Project UDBHAV aims to effectively integrate this ancient wisdom with modern military pedagogy through interdisciplinary research, workshops and leadership seminars. It will facilitate emergence of previously under-explored thoughts and theories related to strategic thinking, statecraft and warfare, foster deeper understanding and contribute to enriching military training curricula. Source: PIB COMPETITION COMMISSION OF INDIA Syllabus Prelims – Current Event Context: 15th Foundation Day of the Competition Commission of India was celebrated in New Delhi. The commission was formed on 14 October 2003.

Archives (PRELIMS & MAINS Focus)   VENEZUELA LOST ITS LAST GLACIER Syllabus Prelims & Mains – Environment Context: Venezuela has likely become the first country — it certainly won’t be the last — in modern history to lose all its glaciers. This comes after scientists reclassified the Humboldt glacier, Venezuela’s last remaining glacier, as an ice field earlier this month. Background:- Scientists expected the Humboldt glacier to last another decade. However, it melted at a faster rate than expected. Key takeaways Venezuela used to be home to six glaciers, located at about 5,000 metres above sea level in the Andes mountains. By 2011, five of them had vanished. Scientists expected the Humboldt glacier to last another decade. But it melted at a faster rate than expected, and has shrunk to an area of less than 2 hectares, leading to its downgrade from a glacier to an ice field. What are glaciers? Glaciers are essentially large and thick masses of ice that are formed on land due to the accumulation of snow over centuries. According to the United States Geological Survey (USGS), they usually exist and form in areas where mean annual temperatures reach near the freezing point; winter precipitation leads to significant snow accumulations; and temperatures throughout the remaining year do not cause the complete loss of the previous winter’s snow accumulation. Due to their sheer mass and gravity, glaciers tend to flow like very slow rivers. Although there is no universal consensus on how large a mass of ice has to be to qualify as a glacier, the USGS says a commonly accepted guideline is around 10 hectares. Why are glaciers disappearing? The reason is quite obvious — it is global warming. Glaciers are melting due to warmer temperatures. Since the Industrial Revolution kicked off in the 18th Century, human activities such as burning fossil fuels have been releasing GHGs like carbon dioxide and methane into the atmosphere. These invisible gases trap heat — they allow sunlight to pass through the atmosphere but prevent the heat that sunlight brings from returning into space — leading to a rise in global temperatures. In recent decades, the emission of GHGs has skyrocketed, which has resulted in the global average temperature to increase by at least 1.1 degree Celsius since 1880. The temperature rise may seem small but it has had devastating consequences. The Andes — a mountain range running through parts of Argentina, Bolivia, Chile, Colombia, Ecuador, Peru, and Venezuela — has witnessed a temperature increase of a high rate of 0.10 degree Celsius in the past seven decades. That is one of the major reasons why Venezuela has lost all of its glaciers. In the case of the Humboldt glacier, the melting was accelerated by El Niño, which developed in July 2023. El Niño refers to an abnormal warming of surface waters in the equatorial Pacific Ocean and leads to warmer temperatures. India is also at the risk of losing its glaciers. They are melting at unprecedented rates across the Hindu Kush Himalayan mountain ranges. What are the impacts of glacier loss? Glaciers are a crucial source of freshwater, especially during hot, dry periods, for local communities, plants, and animals. Their disappearance would mean that one would have to be entirely dependent on spot rainfall for freshwater. The cold water that runs off glaciers keeps downstream water temperatures cooler. This is crucial for many aquatic species in the region as they need cold water temperatures to survive. Glacier loss directly impacts such species. Melting glaciers can also contribute to the rise in sea level. The Greenland and Antarctic ice sheets — they are also considered as glaciers — are the largest contributors to global sea level rise. For the South American country, however, the biggest impact of losing all of its glaciers will be cultural.Glaciers were a part of the region’s cultural identity, and for mountaineering and touristic activities. Source: Indian Express ANTARCTICA PARLIAMENT Syllabus Prelims – Environment Context: India is hosting the 46th Antarctic Treaty Consultative Meeting (ATCM 46), also known as the Antarctic Parliament, from May 20-30 in Kochi. Background: The National Centre for Polar and Ocean Research, Goa, through the Ministry of Earth Sciences (MoES), has organised the meeting, which will be attended by the 56 member countries of the Antarctic Treaty.India had last hosted the ATCM in New Delhi in 2007. The Antarctic Treaty Twelve countries — Argentina, Australia, Belgium, Chile, France, Japan, New Zealand, Norway, South Africa, the USSR, the United Kingdom, and the United States — were the original signatories to the Antarctic Treaty, which was signed on December 1, 1959. The treaty came into force in 1961, and a total of 56 countries — including India, in 1983 — have joined it since then. The Antarctic Treaty, which was signed during the Cold War, effectively designated Antarctica as a “no man’s land”, outside the bounds of international geopolitical competition. Few key features of the treaty are: Antarctica shall be used only for peaceful purposes, and no militarisation or fortification shall be allowed. All signatories will have the freedom to carry out scientific investigations, and should share plans for scientific programmes, extend required cooperation, and freely make available the data gathered. Nuclear testing or disposal of radioactive waste materials shall be prohibited anywhere in Antarctica. Today, the treaty forms the basis of all governance and activities in Antarctica, the fifth-largest continent on the planet. India in Antarctica Since 1983, India has been a consultative party to the Antarctic Treaty. In this capacity, India votes and participates in all key decision-making processes regarding Antarctica. Of the 56 nations that are part of the Antarctic Treaty, 29 have consultative party status. India has undertaken scientific research in Antarctica since 1981. The first Indian Antarctica research station, Dakshin Gangotri, was set up in 1983, some 2,500 km from the South Pole in Queen Maud Land. The station operated till 1990. In 1989, India set up its second Antarctica research station, named Maitri, in the Schirmacher Oasis, a 3-km

Archives (PRELIMS & MAINS Focus)   PRODUCTION LINKED INCENTIVE SCHEME Syllabus Prelims & Mains – Economy Context: Smartphone PLI (production-linked incentive), the most successful of all 14 such schemes, may be extended by a couple of years beyond 2025-26 when it officially ends. Background:- The scheme aimed to attract significant foreign investment in the sector while encouraging domestic mobile phone makers to expand their units and presence in India. Key takeaways The Production Linked Incentive (PLI) Scheme is an initiative by the Government of India to boost domestic manufacturing and reduce imports. The scheme provides companies with incentives on incremental sales from products manufactured in domestic units. Here are some key details about the PLI Scheme: The scheme was announced with an outlay of INR 1.97 Lakh Crores across 14 key sectors to create national manufacturing champions, create 60 lakh new jobs, and an additional production of 30 lakh crore during the next 5 years. It aims to attract foreign companies to set up units in India while encouraging local companies to expand their manufacturing units. The scheme targets labor-intensive sectors in the hope to create new jobs for the ballooning employable workforce of India. The 14 sectors are: (i) Mobile Manufacturing and Specified Electronic Components, (ii) Critical Key Starting Materials/Drug Intermediaries & Active Pharmaceutical Ingredients, (iii) Manufacturing of Medical Devices (iv) Automobiles and Auto Components, (v) Pharmaceuticals Drugs, (vi) Specialty Steel, (vii) Telecom & Networking Products, (viii) Electronic/Technology Products, (ix) White Goods (ACs and LEDs), (x) Food Products, (xi) Textile Products: MMF segment and technical textiles, (xii) High efficiency solar PV modules, (xiii) Advanced Chemistry Cell (ACC) Battery, and (xiv) Drones and Drone Components. PLI Schemes for all 14 Sectors have been notified by the concerned Ministries/ Departments after due approval. These Schemes are in various stages of implementation by the implementing Ministries/ Departments. The PLI scheme is expected to have a cascading effect on the country’s   MSME ecosystem. All the approved sectors identified under PLI Schemes follow the broad criteria of focusing on key technologies where India can leapfrog and multiply employment, exports and overall economic benefits for the economy. Additional Information: The smartphone PLI has seen domestic production of phones rising to Rs 4.1 trillion in FY24 from Rs 2.14 trillion in FY20, the year before the scheme was announced. Smartphones exports from the country rose to Rs 1.2 trillion in FY24, compared to Rs 27,225 crore in FY20. Source: Financial Express BALTIC SEA Syllabus Prelims – GEOGRAPHY Context: A Russian defence ministry proposal to revise Russia’s maritime border in the eastern Baltic Sea was deleted on Wednesday from an official portal after creating confusion and concern among NATO members such as Finland, Sweden, Lithuania and Estonia. Background: Finland and the Baltic states are all members of the EU and Nato and the military alliance is committed to defending their borders. About Baltic Sea Baltic Sea, arm of the North Atlantic Ocean, extending northward from the latitude of southern Denmark almost to the Arctic Circle and separating the Scandinavian Peninsula from the rest of continental Europe. The Baltic Sea is enclosed by Denmark, Estonia, Finland, Germany, Latvia, Lithuania, Poland, Russia, Sweden, and the North and Central European Plain. It is a shelf sea and marginal sea of the Atlantic with limited water exchange between the two, making it an inland sea. The Baltic Sea drains through the Danish Straits into the Kattegat by way of the Øresund, Great Belt and Little Belt. It includes the Gulf of Bothnia (divided into the Bothnian Bay and the Bothnian Sea), the Gulf of Finland, the Gulf of Riga and the Bay of Gdańsk. Additional information The Baltic states or the Baltic countries is a geopolitical term encompassing Estonia, Latvia, and Lithuania. All three countries are members of NATO, the European Union, the Eurozone, and the OECD. The three sovereign states on the eastern coast of the Baltic Sea are sometimes referred to as the “Baltic nations”. Source: Wikipedia DEMISE OF RANGELANDS Syllabus Prelims & Mains – Environment Context: About half of the world’s rangelands are degraded and need policy interventions, and communities depending on them need focused support, according to a new report of the United Nations Convention on Combating Desertification (UNCCD). Background: Rangelands cover 80 million sq km, which is 54 per cent of the earth’s land surface. They are characterised by low vegetation and comprise grasslands, shrublands, wetlands, desert, semi-arid land, mountain pastures, plateaus and tundra. In India, rangelands occupy about 1.21 million sq km, from the Thar Desert to Himalayan meadows, as per the UNCCD report. What are rangelands? The UNCCD report defines rangelands as natural or semi-natural ecosystems that are grazed by livestock or wild animals. Rangelands contain vegetation such as grasses, shrubs, bushes, open forests, and agroforestry systems (land which contains trees and crops or pastures). The exact nature of rangelands’ vegetation is influenced by rainfall, temperature, and other climate phenomena. Currently, rangelands cover 80 million sq km of Earth’s terrestrial surface area (over half of Earth’s land), and are thus the largest land cover or land use type in the world, the UNCCD report said. They act as carbon sinks (which absorb more carbon from the atmosphere than they release), storehouses of freshwater, and prevent desertification of land. Millions of people worldwide depend on rangelands for food security, and livelihoods. Rangelands generate 16% of global food production and 70% of feed for domesticated herbivores, most significantly in Africa and South America,” the UNCCD report stated. What does the UNCCD report say? The UNCCD report found that nearly 50% of the world’s rangelands can be considered “degraded” and are facing a “silent demise”. Climate change, unsustainable land and livestock management practices, biodiversity loss, and the conversion of rangelands to farmlands are some of the primary drivers of rangeland degradation. Uncertainty over land rights among pastoralist communities also leads to their degradation. This, in turn, severely affects the communities dependent on rangelands as their deterioration impacts soil fertility and biodiversity, leading to a dip in incomes and rise in conflicts with authorities over grazing rights. Who are pastoralists? Pastoralism is a livelihood system based on livestock production. This includes livestock rearing, dairy production, meat production, wool production, and leather production. The communities and groups, both indigenous and non-indigenous, who are involved in livestock production are known as pastoralists. These communities rear sheeps, goats, cattle, horses, donkeys, camels, yaks, llamas, alpacas, and

Archives (PRELIMS & MAINS Focus)   INTEGRATED THEATER COMMANDS Syllabus Mains – GS 2 & GS 3 Context: The Indian Armed Forces have been fine tuning the final draft for the creation of integrated theatre commands. Background:- The ambitious defence reform is aimed at integrating the three defence services — the Indian Army, the Indian Navy, and the Indian Air Force (IAF) — to operate jointly in specific adversary-based theatres with defined military goals during a limited conflict or war. Key takeaways The three defence services currently operate individually under their individual operational commands. Theaterisation would entail putting specific units of personnel from all the three services under a single theatre commander so that they fight jointly as a single unit in a war, or conflict, rationalising the manpower and resources of individual services in the process. Each of the three services has its own culture and ethos. With the creation of the theatre commands, their personnel, assets, infrastructure, and logistics would be integrated, so they can operate cohesively to attain defined military goals in specific theatres covering laid-down operational areas. The Armed Forces have already been taking steps to bring in greater integration among the three services. There are plans to make Mumbai the first tri-service common defence station, and to set up additional joint logistics nodes across the country to boost integration in logistics needs, and to streamline supply chains and inter-service postings of officers. Currently, the Army and the IAF have seven commands each, while the Navy has three. In addition, there are two tri-service commands — the Andaman and Nicobar Command, and the Strategic Forces Command (SFC). There is also the Headquarters Integrated Defence Staff (HQIDS). Post the creation of the theatre commands, three command headquarters of the services are likely to be transformed into theatre command headquarters. The existing Andaman and Nicobar Command may be subsumed into one of the theatre commands and the HQIDS will likely operate under the CDS. Source: Indian Express G7 Syllabus Prelims & Mains – International Relations Context: U.S. Treasury Secretary Janet Yellen said on Thursday that she wants market-driven countries to present a “wall of opposition” to China over its state-driven industrial policies, a key issue she is pushing at a G7 finance meeting this week. Background: Many countries beyond the G7 advanced industrial democracies were concerned about China’s overinvestment in electric vehicles, solar products, semiconductors, steel, and other strategic industries, including Mexico, India, and South Africa. Without changes in Chinese policy, including a shift from increasing production to boosting domestic demand, market-driven economies face a flood of cheap exports from China that will threaten the viability of their manufacturers. About G7 G7 stands for “Group of Seven” industrialized nations. G-7 countries include United States, Canada, France, Germany, Italy, Japan and the United Kingdom.Additionally, the European Union (EU) is a “non-enumerated member”. Origin of G7 The G7 draws its roots from a meeting between the current G7 members, excluding Canada, that took place in 1975. At the time, the global economy was in a state of recession due to the OPEC oil embargo. As the energy crisis was escalating, US decided that it would be beneficial for the large players on the world stage to coordinate with each other on macroeconomic initiatives. After this first summit, the countries agreed to meet annually and a year later, Canada was invited into the group which marked the official formation of the G7 as we know it. The President of the European Commission was asked to join the meetings in 1977 The EU is not a member of the G7 but attends the annual summit. Following the collapse of the Soviet Union in 1991 and a subsequent warming in relations between the East and West, Russia was also invited to join the group in 1998. Thereafter the group was named the G8 until 2014, when Russia was expelled for its annexation of Crimea from Ukraine. Other key details: The bloc meets annually to discuss issues of common interest like global economic governance, international security and energy policy. The G-7 does not have a formal constitution or a fixed headquarters. The decisions taken by leaders during annual summits are non-binding. The presidency of the G7 rotates annually among the member states, with the presiding state setting the group’s priorities and hosting the summit. Members share common values like democracy, respect for human rights and fundamental freedoms, free markets, and respect for international law. Together the member countries represent 31% of global GDP, 10% of the world’s population and 21% of global carbon dioxide emissions, according to the Summit website. When the group was created in 1975, they represented 70% of global GDP. China has never been a member, despite its large economy. The G7 has been behind very concrete achievements including the creation of Financial Action Task Force (FATF) European Bank for Reconstruction and Development (EBRD) Deauville Partnership launched after the “Arab Springs” Muskoka Initiative to reduce maternal and infant mortality Source: Reuters DIPLOMATIC PASSPORT Syllabus Prelims – Current Event Context: Nearly a month after a Special Investigation Team (SIT) began probing allegations of sexual assault and abuse against Hassan MP Prajwal Revanna, sources in the Ministry of External Affairs (MEA) have confirmed that the Karnataka government’s request to revoke the diplomatic passport of the suspended Janata Dal (Secular) leader is “being processed.” Background: Members of Parliament , when using diplomatic passports, are required to apply for prior political clearance directly to the MEA.This is also applicable for private visits. For a private visit to a foreign country requiring a visa, the MEA issues visa notes after the member submits a specific request with the necessary political clearance. Diplomatic passport holders do not need a visa note from the MEA when travelling to any of the 34 countries with which India has mutual visa waiver agreements for diplomatic passports. Under this exemption, the permitted period of stay ranges between 30 and 90 days. Germany, where Mr. Revanna allegedly fled to in April, is one of the countries that has an

Archives (PRELIMS & MAINS Focus)   WORLD INEQUALITY LAB REPORT Syllabus Prelims & Mains – Economy Context: A tax package for the ultra-wealthy in India including an annual wealth tax and an inheritance tax for those with net wealth exceeding Rs 10 crore accompanied by redistributive policies has been proposed by a report of the World Inequality Lab. Background:- Recently, the debate on inheritance tax had picked up after Sam Pitroda, a former adviser to Rajiv Gandhi and an associate of Rahul Gandhi, described the inheritance tax in the United States as an “interesting law”. ABOUT WORLD INEQUALITY LAB (WIL) The World Inequality Lab (WIL) is a research organization that aims to promote understanding of global inequality dynamics. The lab gathers social scientists committed to helping everyone understand the drivers of inequality worldwide through evidence-based research. The WIL hosts and maintains the World Inequality Database, the most comprehensive open-access database on global inequality dynamics. One of WIL’s core mission is to maintain and expand the World Inequality Database. It works in close coordination with a large international network of researchers covering nearly seventy countries. The lab is involved in various projects such as the Political Cleavages and Social Inequalities project, the Climate Inequality Report, and the World Inequality Report. The WIL is based at the Paris School of Economics. It is committed to empowering civil society and reinforcing democracy, powered with data. Key takeaways from the Report and associated note released by the researchers: India’s top 1 per cent income and wealth shares have reached historical highs and are among the very highest in the world. The report proposes an annual wealth tax and an inheritance tax for those with net wealth exceeding Rs 10 crore, equivalent to the top 0.04 per cent of the adult population (~370,000 adults), who currently hold over a quarter of the total wealth. It suggests raising phenomenally large tax revenues while leaving 99.96 per cent of the adults unaffected by the tax. Outlining a baseline scenario, the report said, a 2 per cent annual tax on net wealth exceeding Rs 10 crore and a 33 per cent inheritance tax on estates exceeding Rs 10 crore in valuation would generate a 2.73 per cent of Gross Domestic Product (GDP) in revenues. An inheritance tax would directly tackle the unfair advantage that unearned dynastic wealth renders to individuals solely based on the accident of birth. However, the report noted that since the inheritance tax comes into force when wealth is bequeathed (i.e. upon the death of the dynast), hence, it delivers relatively small tax revenues on an annual basis. On the other hand, a small wealth tax would deliver significant annual revenues (given the larger base) while also dampening accumulation at the very top.. The tax package needs to be accompanied by redistributive policies to support the poor, lower castes, and middle classes. The report cited an example of how the baseline scenario would allow doubling the current public spending on education, which has stagnated at 2.9 per cent of GDP over the past 15 years. Source: Indian Express INDUSTRIAL SAFETY Syllabus Mains – Disaster Management Context: The Maharashtra government has ordered an investigation into Thursday’s chemical factory blaze which killed at least 11 people in an industrial complex in Thane and injured more than 60 others. By all accounts, the food colouring factory used highly reactive chemicals. Background: The tragedy should draw attention to frequent industrial accidents, need to plug regulatory and knowledge deficits. Key Takeaways India has witnessed a surge in severe fire and explosion-related accidents in industrial and commercial establishments, in recent years. India is among the top six chemical manufacturing countries in the world. Diverse industries — pharmaceuticals, pesticides, fertilisers, paints and petrochemicals — collectively account for more than 70,000 of the products that are made from chemicals. The sector contributes about 11 per cent of India’s exports and employs more than two million people. Although the country has 15 Acts and 19 rules governing different aspects of the chemical industry, none of them deals exclusively with the sector. At the same time, the overlapping jurisdictions of different ministries work to the detriment of effective regulation. NDMA estimates that the country reported 130 chemical accidents in the last decade, which claimed more than 250 lives. It, however, gives no details of these accidents. The horrors of the Bhopal Gas Tragedy in 1984 did lead to a rethinking on industrial safety, but accidents have not been followed by serious stock-taking — these include the Jaipur oil depot fire of 2009, Thane explosion of 2016, Visakhapatnam gas leak of 2020 and the blaze at a natural gas well in Tinsukia in 2020. A rapidly-industrialising country cannot afford such a knowledge deficit. Changes in regulatory environment Significant changes in the regulatory environment made to enhance ease of doing business may have contributed to the problem of rising accidents. To simplify the conduct of business in the country, the central government diluted industrial safety laws, such as The Boilers Act, 1923 and Indian Boilers Regulation 1950 – vital regulations in the manufacturing sector. Earlier, the law required the boiler inspector to inspect factories periodically and certify the safety of boilers. This function was transferred to specialised ‘third-party’ agents with the requisite expertise. The reforms also changed the compliance requirement under the Factories Act, 1948 – the cornerstone of the edifice of labour regulation. The legal obligation was moved from mandatory inspection by government inspectors – with powers to penalise the owner/manager for violating the factory laws – to self-certification by the owner/manager. Therefore, the changed rules view a factory inspector as a facilitator of business, and not an enforcer of labour laws to protect the interests and safety of workers. Source: Ideas for India INTERNATIONAL COURT OF JUSTICE (ICJ) Syllabus Prelims – Current Event Context: International Court of Justice ordered Israel to halt its offensive in the southern Gaza city of Rafah and withdraw from the enclave, in a case brought by South Africa accusing Israel of genocide, citing “immense risk” to

Archives (PRELIMS & MAINS Focus)   SENSEX & NIFTY Syllabus Prelims – Economy Context: Adani Ports and Special Economic Zone Ltd (APSEZ) will become the first Adani Group company to be included in the Sensex at the Bombay Stock Exchange, replacing Wipro on June 24. Background:- APSEZ and Adani Enterprises, the flagship of the Adani Group, are already part of the Nifty at the National Stock Exchange, the other stock market index that tracks the performance of a set of large and actively traded companies in the country. ABOUT STOCK MARKET AND INDICES The stock market refers to public markets that exist for issuing, buying, and selling stocks. Stocks, also known as equities, represent fractional ownership in a company, and the stock market is a place where investors can buy and sell ownership of such investible assets. The stock market serves two very important purposes. The first is to provide capital to companies that they can use to fund and expand their businesses. By offering stock shares instead of borrowing the capital needed for expansion, the company avoids incurring debt and paying interest charges on that debt. The secondary purpose the stock market serves is to give investors – those who purchase stocks – the opportunity to share in the profits of publicly traded companies. Investors can profit from stock buying in one of two ways. Some stocks pay regular dividends (a given amount of money per share of stock someone owns). The other way investors can profit from buying stocks is by selling their stock for a profit if the stock price increases from their purchase price. Most of the trading in the Indian stock market takes place on its two stock exchanges: the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). The BSE was established in 1875. The NSE was founded in 1992 and started trading in 1994. Both the Sensex and Nifty are tools/index by which traders and market participants measure the domestic market’s performance. Launched in 1986, the Sensex is the country’s oldest and most tracked index. It is designed to measure the performance of the 30 largest, most liquid, and financially sound companies across key sectors of the Indian economy that are listed at BSE Ltd. Among the companies that are part of the Sensex are Reliance Industries, ICICI Bank, and ITC Ltd.These companies are selected to represent the broader Indian equity marketplace. As such, even though the Sensex is composed of only 30 stocks, investors make decisions to buy or sell based on the movement of the Sensex. The Sensex is reconstituted biannually, in June and December of every year. How is Nifty different from Sensex? While the Sensex constitutes 30 companies trading on the BSE, the Nifty 50 is a broad-based index consisting of 50 blue chip large and liquid stocks traded on the National Stock Exchange of India (NSE). The Nifty 50 was started in November 1995. Source: Indian Express TRADE DEFICIT Syllabus Prelims & Mains – ECONOMY Context: India has recorded a trade deficit, the difference between imports and exports, with nine of its top 10 trading partners, including China, Russia, Singapore, and Korea, in 2023-24, according to official data. Background: The data also showed that the deficit with China, Russia, Korea, and Hong Kong increased in the last fiscal compared to 2022-23, while the trade gap with the UAE, Saudi Arabia, Russia, Indonesia, and Iraq narrowed. Key Takeaways Trade deficit arises in the course of international trade when the payments for imports exceed the receipts from export trade. A trade deficit is also referred to as a negative balance of trade. According to trade experts, a deficit is not always bad, if a country is importing raw materials or intermediary products to boost manufacturing and exports. However, it puts pressure on the domestic currency. A rising trade deficit, even from importing raw materials and intermediates, can cause the country’s currency to depreciate because more foreign currency is needed for imports. This depreciation makes imports more expensive, worsening the deficit. Economic think tank Global Trade Research Initiative (GTRI) said that a bilateral trade deficit with a country isn’t a major issue unless it makes us overly reliant on that country’s critical supplies. However, a rising overall trade deficit is harmful to the economy. To cover the growing deficit, the country might need to borrow more from foreign lenders, increasing external debt and this can deplete foreign exchange reserves and signal economic instability to investors, leading to reduced foreign investment. Reducing a trade deficit involves a combination of increasing exports and decreasing imports. Some strategies that could be used to reduce trade deficit: Improve Infrastructure: Improving infrastructure can help facilitate trade and make it easier for businesses to export goods. Diversify Trade Relations: By diversifying trade relations, India can reduce its dependence on any single trading partner and potentially increase exports. Quality Control Orders (QCOs): These can be used to cut down on cheap and non-essential imports. Devalue Domestic Currency: This can make exports cheaper and imports more expensive, thereby reducing the trade deficit. Attract Foreign Direct Investment (FDI): FDI can bring in more funds and technology, which can boost domestic production and exports. Energy Diversification: Reducing reliance on imported crude oil by diversifying energy sources can help in reducing the trade deficit. Latest Data: China has emerged as India’s largest trading partner with $118.4 billion of two-way commerce in 2023-24, edging past the U.S. The trade deficit with China rose to $85 billion, Russia to $57.2 billion, Korea to $14.71 billion and Hong Kong to $12.2 billion in 2023-24 The bilateral trade between India and the U.S. stood at $118.28 billion in 2023-24. Washington was the top trading partner of New Delhi during 2021-22 and 2022-23. India has a trade surplus of $36.74 billion with the U.S. in 2023-24. America is one of the few countries with which India has a trade surplus. The surplus is also there with the U.K., Belgium, Italy, France and Bangladesh. India’s total trade deficit in the last fiscal narrowed to $238.3 billion as against $264.9 billion