DAILY CURRENT AFFAIRS IAS | UPSC Prelims and Mains Exam – 27th December 2024
Archives (PRELIMS & MAINS Focus) REAL EFFECTIVE EXCHANGE RATE (REER) SOARS TO AN ALL-TIME HIGH Syllabus: Prelims & Mains – ECONOMY Context: The rupee is hitting fresh lows against the US dollar each day, yet its exchange rate has scaled an all-time-high in “real effective” terms. Background: – Real effective exchange rate (REER) is a measure of a currency’s value against its trading partners, adjusted for inflation. Key takeaways The real effective exchange rate (REER) index of the rupee touched a record 108.14 in November, strengthening by 4.5 per cent during this calendar year, according to the latest Reserve Bank of India (RBI) data. The REER measures the rupee’s value vis-à-vis not only the dollar, but other global currencies as well. In this case, it is a weighted average of the rupee’s exchange rate against a basket of 40 currencies of countries that account for about 88 per cent of India’s annual exports and imports. The REER also adjusts for inflation differentials between India and each of these trading partners. The rupee’s REER — with 2015-16 as the base year — fell from 105.32 in January 2022 to 99.03 in April 2023. But since then, it has been on an appreciating trajectory. The main reason for the divergence — the rupee’s simultaneous weakening and strengthening — has to do with the dollar’s behaviour over the past three months, especially post Trump’s victory. In other words, the rupee isn’t weakening as much as the dollar is strengthening — against all currencies. The dollar is strengthening because of Trump’s public pronouncements favouring tariff hikes, income tax cuts and deportations of illegal immigrants. From a longer timeframe, the rupee has, since the start of 2022, dipped against the dollar (from 74.30 to 85.19), euro (84.04 to 88.56) and pound (100.30 to 106.79), while firming up only against the yen (0.6454 to 0.5425). Despite that, its REER has increased. And that is a result of inflation in India being higher relative to its major partners. Assuming the rupee was “fairly” valued in 2015-16, when the REER was set to 100, any value above 100 signifies overvaluation and the exchange rate not falling enough to offset higher domestic inflation. The rupee is, to that extent, is overvalued today, making imports cheaper and exports less competitive. Source: Indian Express PRADHAN MANTRI AYUSHMAN BHARAT HEALTH INFRASTRUCTURE MISSION (PM-ABHIM) Syllabus: Prelims & Mains – CURRENT EVENT Context: The Delhi High Court directed that the Aam Aadmi Party government in Delhi needed to sign an MoU with the Ministry of Health and Family Welfare before January 5 for implementation of the Pradhan Mantri Ayushman Bharat Health Infrastructure Mission (PM-ABHIM), irrespective of imposition of Model Code of Conduct in the run-up to the Assembly elections. Background: – PM-ABHIM is a Central government scheme that aims to strengthen public health infrastructure to respond to future pandemics and outbreaks. Key takeaways Pradhan Mantri Ayushman Bharat Health Infrastructure Mission (PM-ABHIM) is a Centrally Sponsored Scheme (CSS) with some Central Sector Components (CS) which has an outlay of Rs. 64,180 Crores for the scheme period (2021-22 to 2025-26). The measures under the scheme focus on developing capacities of health systems and institutions all levels viz. primary, secondary and tertiary level and on preparing health systems in responding effectively to the current and future pandemics/disasters. The objective of the scheme is to fill critical gaps in health infrastructure, surveillance and health research – spanning both the urban and rural areas. The following are the components under CS Component of the scheme: 12 Central Institutions as training and mentoring sites with 150 bedded Critical Care Hospital Blocks (CCBs); Strengthening of the National Centre for Disease Control (NCDC), 5 New Regional NCDCs and 20 metropolitan health surveillance units; Expansion of the Integrated Health Information Portal to all States/UTs to connect all public health labs; Operationalization of 17 new Public Health Units and strengthening of 33 existing Public Health Units at Points of Entry, that is at 32 Airports, 11 Seaports and 7 land crossings; Setting up of 15 Health Emergency Operation Centres and 2 container based mobile hospitals; and Setting up of a national institution for One Health, 4 New National Institutes for Virology, a Regional Research Platform for WHO South East Asia Region and 9 BioSafety Level III laboratories. Following support is provisioned for States/UTs under CSS component of the scheme: Construction of 17,788 rural Health and Wellness Centres (HWCs). Support for 11,024 urban Health and Wellness Centres in all the States with the focus on slum like areas. Establishing 3382 Block Public Health Units (BPHUs) at block levels. Setting up of Integrated Public Health Labs (IPHLs) in 730 districts. Establishing Critical Care Hospital Blocks (CCBs) in 602 districts (with population more than 5 lakhs) and with referral linkages in other districts. Source: Indian Express CONDUCT OF ELECTION RULES Syllabus: Prelims & Mains – POLITY Context: The Centre recently amended the Conduct of Election Rules to restrict access for the public to a section of poll documents. This was done by the Union Law Ministry following a recommendation from the Election Commission (EC). Background: While the EC said the amendment aims to restrict access to electronic data, the Opposition and transparency activists have been up in arms, branding it as an attack on the right to information and electoral freedom. Key takeaways The Conduct of Election Rules,1961, is a set of rules which provide for provisions on how to conduct the elections as per the Representation of People Act. Rule 93(2)(a) of the 1961 Conduct of Election Rules had earlier stated that “all other papers relating to the election shall be open to public inspection” but after the amendment, it reads, “all other papers as specified in these rules relating to the election shall be open to public inspection.” Why has the amendment been brought in now? The move comes after a recent direction to the EC by the Punjab and Haryana High Court to share all documents related to the Haryana Assembly election, including
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