The Economic Advisory Council to the Prime Minister (EAC-PM) reports that female labor force participation in rural India has risen significantly, from 24.6% to 41.5% between 2017–18 and 2022–23.

Economic Advisory Council to the Prime Minister (EAC-PM) is an independent body constituted to give advice on economic and related issues to the Government of India, specifically to the Prime Minister.

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Key Insights from EAC-PM Working Paper on Female Labour Force Participation

  • Data Source and Analysis: The analysis is based on the Periodic Labour Force Survey (PLFS) from 2017–18 to 2022–23, encompassing employment and demographic data of over 2.5 million individuals.
  • Significant Growth in Female LFPR (2017–18 to 2022–23): Rural female labour force participation rate (LFPR) increased from 24.6% to 41.5%.
    • Urban female LFPR saw a modest rise from 20.4% to 25.4%, with notable interstate variations.
  • State-Level Highlights
    • Rural States:
      • Jharkhand recorded 233% growth; Bihar saw a 6x increase.
      • Northeastern states like Nagaland observed a sharp rise from 15.7% to 71.1%.
    • Urban Areas:
      • Gujarat exhibited significant growth from 16.2% to 26.4%.
      • Tamil Nadu saw marginal changes, increasing from 27.6% to 28.8%.
  • Role of Marital Status in LFPR
    • Married women in rural areas showed higher participation growth compared to unmarried women, particularly in states like Rajasthan and Jharkhand.
    • In urban areas, marriage was linked to reduced female LFPR, with moderate increases noted in northeastern states.
  • LFPR Growth in Western and Southern States
    • Rural Areas: The growth in labour force participation is primarily seen among rural women in western and southern states.
    • Urban Areas: Urban regions in these states have experienced only modest increases in female LFPR.
    • Andhra Pradesh: Notably, Andhra Pradesh has seen a significant decline in LFPR among urban women with children.
  • Female Labour Force Participation (LFPR) Trends: Female LFPR follows a bell-shaped curve, peaking between 30–40 years and declining sharply thereafter.
  • Male Labour Force Participation (LFPR) Trends: Male LFPR remains consistently high (around 100%) between ages 30–50, gradually decreasing as age progresses.

About Female Labour Force Participation In India

  • Female labour force participation refers to the percentage of women engaged in the formal or informal workforce, either employed or actively seeking employment. 
    • It serves as an indicator of women’s economic empowerment and social equality.
  • Data Survey: The National Household survey, Periodic Labour Force Survey, conducted by National Statistics Office (NSO), Ministry of Statistics and Programme Implementation (MoSPI), reveals the female employment status in India.
  • Global Labour Participation Rate For Women: The global labor force participation rate for women is just over 50% compared to 80% for men. 
  • India’s Participation Rate: Though female participation rate is still not at par with global average, however, it is improving over the years. 
    • As per the Periodic Labour Force Survey (PLFS) data, during 2022-23, the women participation in the labour force has notably increased to 37.0%.

Factors Responsible for Low Female Participation in the Labour Force

  • Unpaid Domestic Duties/Unpaid Care Work: There is a disproportionate burden of unpaid domestic work and caregiving responsibilities, including childcare and home-making on Women. 
    • This results in ‘time poverty,’ which hinders women from joining the workforce. Example:
      • According to the PLFS 2021-22, around 44.5% of women were outside the labour force due to child care and personal commitments at home
      • According to the Time Use Survey of 2019 data, women in the working age group spend approximately seven hours daily on unpaid household work alone.
  • Social and Cultural Norms: Social expectations often assign women the role of caregivers and homemakers, leading to a lack of participation in economic activities.
    • Men are generally expected to be the primary earners, reinforcing the idea that women should focus on household duties instead of contributing to the workforce.
  • Marriage: Marriage, particularly early marriage, often reduces the female LFPR, as women are expected to take on household and child-rearing responsibilities.
    • According to the World Bank Report, it is estimated that in India, after marriage, women’s employment rates decrease by 12 percentage points, which is about one-third of their employment rate before marriage, even if they don’t have children.
  • Rising Household Income: As household income rises, the financial necessity for women to work diminishes, which can discourage them from seeking employment.
  • Salary/Wage Disparity: Gender-based wage gaps and the undervaluation of women’s work discourage female participation in the labour force. 
    • According to a report by DBS Bank India, in collaboration with CRISIL, 23% of salaried women in India perceive a gender pay gap. 
  • Educational Barriers: Educational attainment plays a crucial role in influencing female participation in the labour force. 
    • Many women are unable to access or complete quality education, which limits their employment opportunities.
    • Example: According to the 2011 census, only 63 percent of women in the total population are literate, significantly lower than the male literacy rate of 80 percent. 
  • Training and Qualification Gaps: Lack of required training, qualifications, or age restrictions can prevent women from accessing job opportunities, contributing to lower participation rates.
  • Continued Study Preference: Around 33.6% prefer to continue their studies instead of entering the workforce, which keeps them outside the labour force.
  • Limited Avenues In Rural Areas: There are limited opportunities in rural India because of which women don’t find jobs matching their preference.
    • Low skill levels and non-farm jobs have also been found to be  limited,  leading  to  the  withdrawal  of  women  from the  labour  force.
  • Crime as a Hindrance: Crime against women is one of the major hindrances to their productive contribution to the economy. 
    • The  issues  are  majorly  concerned  with  the  commute  to  work  and  the  resulting  cost  of  traveling  that deters women from joining the labour force.
      • Example: A report by National Crime Records Bureau (NCRB) revealed that crimes against women have been on the rise, with 4,45,256 cases reported in 2022, which means 51 cases every hour

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Significance of Increasing Female Labour Force Participation in India

  • Economic Growth: A higher Labour Force Participation Rate (LFPR) means more women are contributing to the workforce, which can lead to increased productivity and overall economic growth.
    • Women bring diverse skills and perspectives, which fosters innovation and efficiency in workplaces.
    • For instance, a McKinsey Global Institute report estimates that by offering equal opportunities to women, India could potentially add US$ 770 billion to its GDP by 2025​.
  • Maximizing Demographic Dividend: India, with its young population, can benefit from its demographic dividend if women are equally integrated into the workforce. 
    • Encouraging women to participate in productive activities ensures that a larger segment of the population contributes to the economy.
  • Economic Empowerment of Women: Employment offers women financial independence, reducing their dependency on male family members. 
    • This enables them to make decisions in their personal, family, and social lives, leading to overall improvements in well-being.
  • Social Transformation: As women join the labor force, traditional gender norms and societal perceptions gradually shift, fostering greater gender equality.
  • Attainment of SDG Goals: Improving female LFPR directly contributes to achieving key Sustainable Development Goals (SDGs):
    • SDG 5: Gender equality.
    • SDG 8: Decent work and economic growth.
    • SDG 10: Reduced inequalities​.

Good Practices from Private and Public Sector for increasing female labour participation in India:

  • The Maternity Benefit (Amendment) Act, 2017: Extended paid maternity leave from 12 to 26 weeks, ensuring women have adequate time for childcare.
  • Pradhan Mantri Matru Vandana Yojana: Provides cash incentives to pregnant women for proper nutrition and health.
  • Free Laptop Scheme of Tamil Nadu: The Government of Tamil Nadu is implementing the scheme of distribution of laptop computers to the students studying in Government and Government-aided schools and colleges in the state to facilitate them in acquiring better skills and to incentivise them to continue their education. 
  • Re Entry Programmes: Many Companies offer a re entry programme for women to address the issue of talent shortage. 
    • Example: Infosys promotes mentorship opportunities for women returning from career breaks.
  • Dedicated Offices for Gender Sensitivity: Many Multinational Corporations have set up dedicated offices where women employees can avail counselling facilities and nursing stations that would be available round the clock.

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Government Initiatives To Improve the Female Labour Force Participation In India

  • New Initiatives in Budget 2024-25:  The Prime Minister’s Package announced in the Budget 2024-25 includes five key schemes aimed at empowering youth, including 4.1 crore women, over the next five years with a central outlay of ₹2 lakh crore. The initiatives include:
    • Focus on employment, skilling, and opportunities.
    • Setting up working women hostels in collaboration with the industry.
    • Establishing creches to support women’s participation in the workforce.
    • Additional policy interventions to foster a conducive environment for women in the workforce.
  • ‘Palna’ scheme: The Ministry of Women and Child Development runs the ‘Palna’ scheme, or the National Programme on Anganwadi-cum-Crèche, which provides day-care facilities for children of working parents.
    • The scheme aims to increase the participation of women in the workforce by providing a safe and secure environment for children’s health, nutrition, and cognitive development.
    • A total of 1,000 Anganwadi creches have been made operational till now as part of this scheme
  • Pradhan Mantri Mudra Yojana (PMMY): PMMY provides financial support to micro and small enterprises, particularly focusing on women entrepreneurs. 
    • Under this scheme, loans up to ₹10 lakh are provided for income-generating activities in the non-corporate, non-farm small/micro enterprise sector.
  • ‘Women in Science and Engineering-KIRAN (WISE-KIRAN)’: The WISE-KIRAN scheme is a holistic approach to address various challenges faced by women in their scientific journey through different kinds of programmes.
  • SERB-POWER (Promoting Opportunities for Women in Exploratory Research): The initiative promotes women in exploratory research by funding women scientists and researchers to pursue pioneering projects
  • Pt. Deen Dayal Upadhyaya Grameen Kaushalya Yojana (DDU-GKY): DDU-GKY provides skill development training to youth from rural areas, including women, to enhance their employability. 
    • It focuses on poverty alleviation by offering training in market-driven sectors, aiming to empower rural women with skills and economic opportunities.
  • Namo Drone Didi: It is a central sector scheme aiming to empower women-led Self-Help Groups (SHGs) by equipping them with drone technology to provide agricultural services
  • Skill India Mission: In order to enhance the employability of female workers, the Government is providing training to them through a network of Women Industrial Training Institutes, National Vocational Training Institutes and Regional Vocational Training Institutes.
  • The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013: It was enacted to ensure safe working spaces for women, provide protection against sexual harassment of women at workplace and for the prevention and redressal of complaints of sexual harassment.
  • National Education Policy (NEP), 2020: The policy prioritises gender equity and envisions ensuring equitable access to quality education to all students, with a special emphasis on Socially and Economically Disadvantaged Groups (SEDGs).

Way Forward

  • Challenging Social and Cultural Norms: There is a need to destigmatize unpaid care work, which will help break down gender stereotypes and redefine caregiving roles.
    • Public campaigns, educational programs, and media can promote the active involvement of men in caregiving, creating a more balanced division of labor.
    • This shift will allow women to participate more fully in the formal workforce, improving their labor force participation.
  • Flexible Working Arrangements: Flexible working arrangements, such as remote work and flexible hours, allow women to balance professional and personal responsibilities, making it easier for them to join and remain in the workforce.
  • Promoting Vocational Training: Enhancing women with skills increases their employability and equips them to contribute to the economy. 
    • Example: The Implementation of Pradhan Mantri Gramin Digital Saksharta Abhiyan (PMGDISHA) can enhance digital literacy in rural areas.
  • Formalisation of Jobs: Formalization of jobs provides women with job security, equal pay, and legal protections, making employment more attractive and can help boost female labour force participation.

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Conclusion 

While female labour force participation in India is steadily improving, targeted policy interventions are essential to ensure gender equality, economic empowerment, and inclusive growth, all crucial in realising the vision of a Viksit Bharat by 2047.

The 25th edition of the Hornbill Festival, Nagaland’s largest cultural event, has sparked controversy as the state government temporarily relaxed its 35-year-old liquor prohibition law. 

More on News

  • The theme for the 2024 festival is “Cultural Connect.”

About Hornbill Festival

  • The Hornbill Festival was first organized in the year 2000.
  • “Festival of Festivals ”: The festival acts as an umbrella of the major festivals celebrated by the 14 recognised Naga tribes in the state.
  • Aim: It promotes inter-tribal interaction and celebrates Nagaland’s rich heritage thereby  fostering unity and harmony.
  • Venue: It is celebrated at the Naga Heritage Village, Kisama, located approximately 12 kilometers from Kohima, Nagaland.
  • Significance of the Name: The festival is named after the Indian hornbill (Buceros bicornis), a bird deeply associated with the socio-cultural life of the Naga tribes.

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About Hornbills

Hornbill Festival

  • Distribution: Found in tropical and subtropical regions of Africa and Asia. 
  • India is home to nine species of hornbills, with the northeastern region exhibiting the highest diversity.
  • Notable species:
    • Great Indian Hornbill: Found in the Western Ghats, Himalayan foothills (Uttarakhand to northeast India), and south Nepal.
    • Narcondam Hornbill: Endemic to Narcondam Island in the Andaman Sea.
  • Habitat: Prefer dense tropical forests, often associated with old-growth trees. Hornbills build nests in tree cavities, indicating healthy forest ecosystems.
  • Ecological Role: Known as ‘forest engineers’ or ‘farmers of the forest’ for their role in seed dispersal, aiding the regeneration of tropical trees.
    • They help maintain the ecological prosperity and balance of forests.
  • Conservation Status
    • Great Indian Hornbill:
      • IUCN Status: Vulnerable.
      • Listed under Schedule I of the Wildlife Protection Act, 1972.
    • Narcondam Hornbill: Restricted range makes it a conservation priority.
    • Rufous-necked Hornbill, Wreathed Hornbill: Near Threatened.
    • Malabar Pied Hornbill, White-throated Hornbill: Near Threatened.
    • Indian Grey Hornbill, Oriental Pied Hornbill: Least Concern.
  • Cultural Significance: Cultural symbols for ethnic communities, especially the Nyishi of Arunachal Pradesh.
    • Their presence is often linked to cultural identity and the health of forest habitats.

Reserve Bank Governor Shaktikanta Das addressed concerns about “de-dollarisation” stating that India has no plans to “de-dollarise” its trade.

Key Highlights of the RBI Governor Address

  • India’s Stance on De-dollarisation: The focus is on derisking trade rather than moving away from the US dollar.
    • Steps like permitting vostro accounts and agreements for trade settlement in local currencies aim to reduce risks from currency fluctuations.
  • BRICS Currency Discussions : A common BRICS currency has been discussed but remains at an early stage without significant progress.
    • RBI Governor noted that geographical contiguity, as in the EU, is a factor aiding the success of a single currency, which is absent in BRICS.
  • Dependence on the US Dollar: While the US dollar remains dominant, reliance on a single currency poses risks due to potential appreciation or depreciation.

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About De-dollarisation

  • Definition: De-dollarisation refers to efforts by countries to replace the U.S. dollar with other currencies as the global reserve currency.
  • Reason: Countries aim to reduce dependence on the dollar to mitigate risks related to U.S. economic policies and sanctions, which can significantly impact global trade and financial stability.
    • Attempts to de-dollarise have gained momentum post-Russia’s invasion of Ukraine, with sanctions restricting dollar-based transactions fueling concerns about the weaponization of the currency.

Dollar Dominance and Its Reasons

  • Post-World War Era: The U.S. emerged as the dominant economic power, with its GDP constituting nearly 50% of the global economy at one point.
  • Bretton Woods Agreement (1944): Delegates from 44 nations agreed to adopt the U.S. dollar as the global reserve currency, pegged to gold at the time.
  • Global Trust: The U.S. dollar’s stability, coupled with high trust in American financial markets and governance, makes it a preferred currency for international trade and investment.
  • Liquidity: The dollar offers easy access to nominally risk-free U.S. Treasury instruments, which are highly sought after by global investors.

Issues Related to Dollar Dominance

  • Economic Power Concentration: The dominance of the dollar gives the U.S. significant control over global financial transactions, enabling it to impose sanctions and influence global trade.
  • Trade Deficits: Persistent U.S. trade deficits result in excess dollars circulating globally, often reinvested in U.S. assets, creating imbalances.
  • Challenges for Other Currencies: Attempts like India-Russia’s rupee-rouble trade face hurdles due to trade imbalances, leaving one country with surplus currency it cannot easily utilize.

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Global Trend in De-Dollarisation

  • Diversification of Currency Reserves: BRICS nations are actively diversifying their foreign exchange reserves to reduce dollar exposure.
  • BRICS Currency: At the recent Brics summit in Russia’s Kazan, a symbolic banknote displaying the flags of Brics nations was also introduced, sparking conversations about the future of global finance.
    • However, Russian President Vladimir Putin clarified that the bloc is not currently considering a unified Brics currency or developing an alternative to the SWIFT payment system.
  • Central Bank Digital Currencies (CBDCs): Many countries are exploring the development of CBDCs as an alternative to fiat currencies, potentially reducing the need for dollar-denominated transactions.
  • Interoperability: Efforts are being made to establish interoperable CBDC systems between different countries, facilitating cross-border payments without relying on the dollar.
  • Alternative Payment Systems: Countries are developing alternative payment systems to reduce dependence on SWIFT, the global payment messaging system dominated by Western institutions.
  • Domestic Payment Systems: Strengthening domestic payment systems can reduce reliance on foreign currencies for domestic transactions.
  • Gold-Backed Currencies: Some countries are considering returning to a gold standard or using gold as a part of their reserve assets.
    • For example, Russia and China have been actively increasing their gold reserves in recent years and have even suggested a potential return to a gold standard.
  • Regional Economic Integration: It can foster trade and investment within regions, reducing reliance on the dollar for cross-border transactions.
    • India and Russia have already begun settling some trade in their local currencies, exemplifying steps toward reducing dependence on the US dollar.

India’s Initiatives to Reduce Impact of Dollar Fluctuations

  • Local Currency Trade Agreements: India has been increasingly entering into bilateral trade agreements with various countries, allowing for trade settlements in local currencies. This reduces the need for dollar conversion and exposure to exchange rate risks.
    • India-UAE Currency Swap Agreement: This agreement enables direct trade between the two countries in their respective currencies, reducing reliance on the dollar.
    • India-Maldives Currency Swap Agreement: A similar agreement with the Maldives aims to boost trade and investment between the two nations, minimizing dollar exposure.
  • Vostro Accounts: Vostro accounts allow foreign banks to hold Indian rupees in Indian banks. This facilitates direct trade settlements between Indian and foreign entities, reducing the need for dollar-denominated transactions.
    • Several countries, including Russia, Singapore, and the UK, have opened vostro accounts in Indian banks to facilitate rupee-denominated trade.
  • Focus on Deriskin Rather than outright de-dollarization: India is focusing on a more nuanced approach of derisking. This involves diversifying trade partners, exploring alternative payment systems, and reducing reliance on a single currency.

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Conclusion

The US dollar’s dominance in the global financial system persists, despite its vulnerabilities, due to the lack of a superior alternative. While the US economy may face challenges, its stability, credibility, and attractive investment opportunities maintain its global appeal. The US dollar’s dominance could be challenged if a more compelling alternative emerges, offering similar or superior benefits.

Additional Reading: BRICS Currency, De-Dollarisation

The International Advisory Body for Submarine Cable Resilience was recently launched to address growing challenges and ensure the resilience of critical submarine cable infrastructure.

About International Advisory Body for Submarine Cable Resilience

  • Jointly Launched by the International Telecommunication Union (ITU) and the International Cable Protection Committee (ICPC) collaborated to launch this initiative.
  •  Aim: To strengthen the resilience of submarine cables, which are essential for the global digital economy.
  • Members: Composed of 40 members from around the world, including ministers, heads of regulatory authorities, and senior telecommunications experts.
    • Nigeria and Portugal are serving as co-chairs for this body.
  • Meeting Schedule: The advisory body will convene bi-annually to discuss international policies, infrastructure, and best practices for submarine cable resilience.
  • Functions:
    • Promote best practices across governments and industries to enhance cable resilience, minimize damage risks, and ensure swift repair and deployment of cables.
    • Leverage the collective expertise of members to address the needs of stakeholders whose livelihoods depend on submarine cables.
    • Provide strategic guidance to tackle challenges such as increasing traffic, aging infrastructure, and environmental threats to submarine cables.

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International Advisory Body

About Submarine Cables

  • Submarine cables are fiber optic cables laid under the ocean that connect two or more landing points.
  • It facilitates essential services like:
    • International commerce and trade
    • Global financial transactions
    • International communication and collaboration
    • Internet connectivity

Optical Cables

  • Optical cables are a type of cable that uses light signals and the principle of Total Internal Reflection to transmit data.
  • Core Component: A thin strand of glass fiber called an optical fiber, which guides light pulses.

Advantages:

  • High bandwidth capacity: Can transmit vast amounts of data.
  • Low signal loss: Ensures high-quality data transmission over long distances.
  • Immunity to electromagnetic interference: Protects data from external disturbances.

Applications:

  • Telecommunications: Backbone of modern communication networks, including internet, telephone, and cable TV.
  • Data centers: Connects servers and storage devices within data centers.
  • Local area networks (LANs): Used to connect devices within buildings and campuses.

  • Economic Growth: Facilitates economic growth and development, especially for remote and island nations.
  • Geopolitical Significance: Can influence geopolitical strategies and relationships between countries.
  • These cables handle over 99% of international data exchange, enabling vital services such as global commerce and financial transactions.
  • Global Submarine Cable Network: As of 2024, there are over 600 active submarine cables worldwide.
    • These cables span over 1.4 million kilometers, connecting continents and countries.
    • The number of submarine cables continues to grow to meet the increasing demand for global connectivity.
  • India’s Role in Submarine Cable Network: India hosts 17 international submarine cables across 14 landing stations, primarily in Mumbai and Chennai.
    • This positions India as a crucial hub for global data traffic.

About International Telecommunication Union (ITU)

  • ITU is a specialized agency of the United Nations focused on information and communication technologies established in 1865.
  • Headquarters: Geneva, Switzerland.
  • Functions: Facilitates international connectivity, allocates global radio spectrum, and manages satellite orbits.
  • Members: 194 countries, including India.

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International Cable Protection Committee (ICPC)

  • The International Cable Protection Committee (ICPC) is a global organization dedicated to safeguarding international submarine telecommunications and power cables.
  • Establishment: Founded in 1958, the ICPC was established to address the increasing vulnerability of submarine cables to various threats, including accidental damage and intentional sabotage.
  • Headquarter: London, United Kingdom.
  • Functions
    • Global Forum: The ICPC serves as a global platform for governments, cable operators, manufacturers, and other industry stakeholders to exchange information and collaborate on cable protection issues.
    • Technical Expertise: The organization provides technical expertise and best practices to mitigate risks to submarine cables, such as those posed by fishing activities, anchoring, and natural disasters.
    • Legal Framework: The ICPC promotes the development and enforcement of international laws and regulations to protect submarine cables.
    • Environmental Protection: The organization is committed to minimizing the environmental impact of cable installation and maintenance operations.
    • Public Awareness: The ICPC raises public awareness about the importance of submarine cables and the need to protect them.

A study conducted by researchers in Tanzania’s Ngorongoro Conservation Area (NCA) has offered insights into the reasons behind human-Cape buffalo conflict that occurs across sub-Saharan Africa.

Key Highlights of the Study 

  • Main Cause of Conflict:  The study found that resource competition was the main factor that ignited human-African buffalo conflict. 
  • Recommendations: Involve local communities in developing and testing mitigation strategies such as chili bombs, drones, and intense light torches.
    • Implement communal guard groups and avoid crop planting within 500-meter buffer zones near protected areas.

About Cape Buffaloes

Cape Buffalo of Africa

  • The Cape Buffalo is one of four subspecies of African Buffalo found south of the Sahara.
    • Other subspecies include the Forest Buffalo, West African Savanna Buffalo, and Central African Savanna Buffalo.
  • Big Five Member: It is one of Africa’s “Big Five” species, along with the lion, leopard, elephant, and rhinoceros.
  • Physical Characteristics: They have long, stocky bodies with short, thick legs.
    • Adult buffalo horns have fused bases forming a continuous bone shield across the head, known as “boss”.
  • Habitat: Found in swamps, floodplains, mopane grasslands, and forests of Africa’s major mountains.
  • Behavior and Social Structure: Cape Buffaloes are active both day and night.
    • They are social animals living in herds with related females and their offspring, maintaining a linear dominance hierarchy.
  • Distribution: Found across the savannas of East and Southern Africa.
  • Diet: They are strictly herbivorous, feeding on grasses and leaves.
  • Special Abilities: Excellent swimmers, often crossing rivers to access better grazing areas.
  • Conservation Status: Listed as “Near Threatened” by IUCN.

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About Sub-Saharan Africa

Cape Buffalo of Africa

  • Geographical Location: A vast region in Africa, south of the Sahara Desert.
  • Diverse Landscapes: Encompasses various landscapes, including rainforests, savannas, deserts, and mountains.
  • Vegetation:
    • Rainforests: Lush, dense forests with diverse plant life, found in regions with high rainfall.
    • Savannas: Grasslands with scattered trees, supporting a wide range of wildlife.
    • Deserts: Arid regions with sparse vegetation, adapted to harsh conditions.
  • Wildlife:
    • Iconic Animals: lions, elephants, giraffes, zebras, and rhinoceroses.
    • Diverse Ecosystems: Supports a rich biodiversity, including various bird species, reptiles, and amphibians.
  • Countries: Includes nations like Nigeria, South Africa, Ethiopia, Kenya, Tanzania, Congo, Angola, and many more.
  • Challenges: Faces significant challenges, including poverty, disease, conflict, and environmental degradation.

A privilege motion notice has been submitted in response to remarks made by a parliamentarian referring to the Leader of Opposition as a “traitor of the highest order.”

About Privilege Motion

  • A privilege motion addresses a breach of parliamentary privileges committed by a minister or member.
  • Breach of Parliamentary Privileges:
    • It occurs when rights and immunities (referred to as Parliamentary Privileges) are disregarded.
    • This offense is punishable under the law of Parliament.
    • A motion can be initiated by any member of either House against the guilty party.
  • Purpose: To censure the minister or member concerned for the breach.
  • Governing Rules:
    • Rule No. 222 in Chapter 20 of the Lok Sabha Rule Book and Rule 187 in Chapter 16 of the Rajya Sabha Rule Book govern privilege motions.
    • These rules allow a member to raise a question involving a breach of privilege with the consent of the Speaker or Chairperson.
  • Role of Speaker or Chairperson:
    • Acts as the first level of scrutiny for a privilege motion.
    • They can either decide on the motion themselves or refer it to the Privileges Committee of Parliament.
    • If the motion is accepted under the relevant rules, the concerned member is allowed to make a short statement.

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Consequences of the Privilege Motion

If a privilege motion against an MP is found to be valid, the following consequences may arise:

  • For the MP:
    • Reprimand or Admonition: The Speaker or Chairperson may issue a formal reprimand or warning to the MP.
    • Suspension: The MP may be suspended from the House for a specific period.
    • Expulsion: In severe cases, the MP may be expelled from the House, which would result in their losing their parliamentary seat.
  • For the House:
    • Censure Motion: The House may pass a censure motion against the MP, expressing its disapproval of their actions.
    • Inquiry Committee: The House may form a committee to investigate the matter further and recommend appropriate action.
  • Specific consequences depend on the severity of the breach of privilege and the decision of the Speaker or Chairperson.

About Parliamentary Privileges

  • Constitutional Provisions: Article 105 explicitly grants members freedom of speech in Parliament and the right to publish its proceedings.
    • While Parliament has not codified all privileges, the Constitution extends them to the Attorney General of India but not to the President, despite the President being part of Parliament.

Collective Privileges 

  • Under Article 105: 
    • Parliament has the right to publish its proceedings and prohibit unauthorized publication.
    • Parliament can hold secret sittings.
    • Parliament can punish members or outsiders for breaches of privilege or contempt.
    • Parliament has the right to be informed about the arrest, detention, conviction, imprisonment, or release of a member
    • No person can be arrested or served with legal processes within the precincts of Parliament without the permission of the presiding officer.
    • Parliament can conduct inquiries, summon witnesses, and demand relevant documents.
  • Article 122: Courts cannot inquire into the proceedings of either House of Parliament or its committees.
  • Article 118: Parliament has the power to make rules for its own procedure and conduct of business.

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Individual Privileges Under Article 105

  • Members of Parliament cannot be arrested during a session or 40 days before or after a session (civil cases only).
  • Members enjoy freedom of speech in Parliament and are immune from legal proceedings for statements made or votes cast in Parliament or its committees.
  • Members are exempt from jury service and can refuse to give evidence or appear as witnesses in court cases while Parliament is in session.

The Supreme Court has scheduled a detailed hearing in January 2025 regarding a petition to reduce the permissible water level of the Mullaperiyar Dam from 142 ft to 120 ft.

Concerns Cited by the Petitioner

  • Aging Infrastructure: Commissioned in 1895 with an intended lifespan of 50 years, the dam is now 129 years old, more than double its original design lifespan, raising significant safety concerns.
  • Fear of Catastrophic Collapse Among Kerala’s Population: Widespread apprehension exists in Kerala about the potential collapse of the dam, which could threaten the lives and properties of five million people.
  • Risk of Cascading Failures of Other Dams: A breach of the Mullaperiyar Dam could trigger failures of downstream structures like the Idukki arch dam, causing devastating impacts in Idukki, Ernakulam, Alleppey, and Kottayam districts.
  • Wayanad Landslides: The July 2024 landslides in Wayanad, which claimed 220 lives, underscore the vulnerability of the region and the pressing need to address potential disaster risks associated with the dam.

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About Mullaperiyar Dam

Mullaperiyar Dam

  • Location: Mullaperiyar Dam is situated in the Cardamom Hills of the Western Ghats on the Kerala-Tamil Nadu border, near Kumily, in Idukki district.
  • Construction: Built in 1895 using limestone and surkhi, the dam diverts water from the Periyar River (Kerala) to Tamil Nadu’s Vaigai basin for irrigation and drinking water needs.
  • The dam plays a crucial role in supplying water to southern Tamil Nadu for agricultural and drinking purposes.
  • It has been a longstanding point of contention between Kerala and Tamil Nadu, particularly concerning its safety and operational control.
  • Controversy: Tamil Nadu asserts the dam’s safety and its importance for water supply.
    • Kerala highlights the risks posed by potential breaches, especially considering recent climate-induced calamities like landslides.
    • It lies in a seismically active zone, further raising concerns about its safety, especially during heavy rains.
  • Mullaperiyar Inter-State Water Dispute: Tamil Nadu wants the water level raised to 142 ft in accordance with the 2014 Supreme Court decision, whereas Kerala insists on maintaining it at 139 ft due to damage to dams and environmental concerns. Kerala also objects about the fairness of the lease agreement. 

On the occasion of International Cheetah Day (4 December), two cheetahs, Agni and Vayu, were released into the open forest area of Kuno National Park, Madhya Pradesh

Key Highlights of the Relocation

International Cheetah Day

  • Milestone in Cheetah Reintroduction Project:  After spending over a year in protective enclosures following setbacks, including the loss of three cheetahs in July 2023 due to septicaemia, this release symbolizes renewed hope for the project.
    • The release was carried out in the Palpur East area across the Kuno River.
  • Phased Release Strategy: The Cheetah Project Steering Committee proposed a phased approach for releasing cheetahs into the wild.
    • Male coalitions are prioritized, followed by individual cheetahs and mothers with cubs.
  • Monitoring Measures: The released cheetahs are being monitored constantly to study their behavior and adaptation to wild conditions.
  • Overcoming Challenges: Concerns about co-predators like leopards and loss of survival instincts were mitigated through intensive monitoring and preparations.
    • Preventive vaccinations have been carried out to combat potential diseases.
  • Hunting Success: While in enclosures, the cheetahs demonstrated their ability to hunt prey like chitals, instilling confidence in their survival skills.

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About International Cheetah Day

  • International Cheetah Day is celebrated annually on 4 December.
  • Initiated by: the Cheetah Conservation Fund (CCF).
  • Purpose: To raise awareness about cheetah conservation efforts and highlight the importance of restoring this species in the wild.
  • Organizing Body: The day is spearheaded by global wildlife organizations, including the Cheetah Conservation Fund (CCF).

About Cheetah Conservation Fund (CCF) 

  • CCF is a global organization dedicated to the conservation of cheetahs and their ecosystems.
  • It was founded in 1990 by Dr. Laurie Marker, a renowned conservation biologist.
  • The CCF is based in Namibia, a country with one of the largest populations of wild cheetahs. 

Initiatives of CCF:

  • Research: CCF conducts scientific research to better understand cheetah ecology, behavior, and genetics.
  • Conservation: CCF implements conservation programs to protect cheetah habitats and reduce human-wildlife conflict.
  • Education: CCF educates communities about the importance of cheetah conservation and promotes sustainable land use practices.
  • Community Outreach: CCF works with local communities to develop sustainable livelihoods and reduce the threat of poaching and habitat loss.
    • One of CCF’s most successful programs is the Livestock Guarding Dog Program, which uses dogs to protect livestock from predators, reducing the need for lethal control of cheetahs.

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About Kuno National Park

  • Location: Situated in Sheopur district, Madhya Pradesh, near the Vindhyan Hills.
    • Named after the Kuno River, a key tributary of the Chambal River.
  • Status: Initially established as a wildlife sanctuary, it was declared a national park in 2018 under the ‘Action Plan for Introduction of Cheetah in India.’
  • Vegetation and Flora: Predominantly grasslands with few rocky outcrops.
    • Key tree species include Kardhai, Salai, and Khair.
  • Fauna: Home to species like Indian leopard, jungle cat, sloth bear, Indian wolf, striped hyena, golden jackal, Bengal fox, and Dhole.
  • Ecological Significance:
    • Part of the Khathiar-Gir dry deciduous forests, characterized by dry deciduous and thorn scrub forests.
    • This ecoregion is unique in Asia for supporting the Asiatic lion, primarily in Gir National Park, Gujarat.
Additional Reading: Project Cheetah

Recently, World Bank Released Annual International Debt Report (IDR) 2024

About Annual International Debt Report

  • It provides detailed information on external debt for low- and middle-income countries

low- and middle-income countries: Criteria

The classification of countries is based on the Gross National Income (GNI) per capita.

  • Low-Income Countries : GNI per capita: $1,145 or less
  • Lower Middle-Income Countries: GNI per capita: Between $1,146 and $4,515
  • Upper Middle-Income Countries: GNI per capita: Between $4,516 and $14,005
  • High-Income Countries: GNI per capita: More than $14,005

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  • Key Contributions of the IDR
  • Data Insights: Tracks borrowing patterns and new lending methods.
  • Debt Relief Impact: Assesses the outcomes of initiatives to reduce debt burdens.
  • Transparency Promotion: Encourages accurate debt recording and reporting.

Key Findings of the International Debt Report 2024

The report highlights trends and developments in external debt for low- and middle-income countries (LMICs) over the past decade (2013–2023), with a focus on 2023.

International Debt Report

  • Trends in External Debt Stock (2013–2023)
    • The total external debt stock of LMICs grew by 2.4% in 2023, reaching US$8.8 trillion.
    • The increase in long-term debt was largely due to higher borrowing from multilateral creditors.
    • Trends in External Debt Flows (2013–2023)
      • Net debt flows (disbursements minus repayments) turned positive in 2023, totaling US$220.7 billion.
      • This was a significant recovery (fivefold increase) compared to 2022 but remained lower than the levels seen between 2017 and 2021.
    • Trends in Net Transfers on External Debt (2013–2023)
      • Higher interest payments negatively impacted net debt transfers.
      • Net debt transfers reflect the difference between the amounts borrowed (new disbursements) and the amounts repaid (interest and principal).

What is the debt-to-GNI ratio?

  • It is a metric that compares a nation’s total external debt to its gross national income. 
  • A high ratio shows a high level of external debt relative to its income. 

  • Debt Ratios and Debt Resolutions
    • The debt-to-GNI ratio for LMICs (excluding China) slightly decreased by 0.8 percentage points, standing at 34.4% in 2023.
    • This ratio has been on a declining trend since reaching a two-decade high of 41.8% in 2020.
  • International Debt ReportDebt Servicing Burdens (2013–2023)
    • LMICs faced record-high debt servicing costs of US$1.4 trillion in 2023 (principal and interest payments).
    • For LMICs excluding China, debt servicing costs increased by 19.7%, reaching US$971.1 billion—almost double the amount recorded a decade ago.
    • Role of Multilateral Lenders
      • Multilateral lenders, such as the World Bank, IMF, and regional development banks, became the primary source of financial support for LMICs during the pandemic and beyond.
      • Their support included emergency relief and balance-of-payments assistance.
      • Borrowing from private creditors fell due to:
        • Adverse market conditions.
        • Reduced investments in emerging markets.
        • A shift towards concessional loans from official creditors in IDA-eligible countries.
  • Growth in Debt Stock from Official Lenders
    • Long-term debt stock owed to the World Bank and IMF by LMICs has grown by 63.1% since the pandemic, compared to marginal growth in private lending.
    • LMICs (excluding China) owed US$421.8 billion to the World Bank’s lending arms in 2023, accounting for 34% of all multilateral creditors’ debt.
  • Rising Interest Rates and Costs
    • Interest rates on new loans increased significantly in 2023:
      • Official creditors: Rates rose by 2.1 percentage points to 4.09%.
      • Private creditors: Rates increased by 1.37 percentage points to 6.0%, the highest since 2008.

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What is external debt?

  • External debt is the money a country borrows from foreign sources like other governments, banks, or international organizations. It is divided into two types:
  • Short-term debt: Needs to be repaid in a year or less.
  • Long-term debt: Has a longer repayment period.
  • Main Features of External Debt
    • Types of External Debt:
      • Public Debt: Borrowed by the government.
      • Private Debt: Borrowed by private companies.
      • Multilateral Debt: Loans from organizations like the World Bank and IMF.
      • Bilateral Debt: Loans from one country to another.
      • Commercial Loans: Borrowed from banks or investors.
    • Why Countries Borrow:
      • To build roads, schools, and hospitals.
      • To manage financial crises.
      • To cover gaps in government budgets.
    • How Debt is Repaid:
      • Countries pay back the principal amount and interest.
      • Sometimes, they take new loans to repay old ones.

A recent study has highlighted that declining low-altitude cloud cover has contributed about 0.2°C of the nearly 1.5 degrees Celsius rise seen in global mean temperatures in 2023.

Key Highlights of the Study

  • Published In: The study was published in the journal Science.
  • Data Analysis: Satellite data from radiation readings from NASA’s Clouds and the Earth’s Radiant Energy System and European Centre for Medium-Range Weather Forecasts (ECMWF) were used. 
    • A complex weather model was generated to get a detailed understanding of the evolution of the global energy budget and cloud cover at different altitudes.
  • Objective: To find the source of the missing 0.2 degrees Celsius of warming in the year 2023.
  • Findings:
    • Decline in Low- Altitude cloud cover: It fell globally by 1.5 per cent in 2023 compared to average levels continuing a decade-long decline of 1.27 per cent.
      • The sharpest decline in Low- Altitude cloud cover was seen over northern mid-latitude and tropical oceans like the Atlantic likely accounting for the 0.2C of warming.
      • A slight decline in moderate- and high-altitude clouds (which typically trap heat emitted from the surface in the atmosphere) was also observed.
    • Reason for the Decline: The decline is attributed to many causes, that is
      • Global Reduction in Aerosol Pollution: Lower concentrations of anthropogenic aerosols in the atmosphere, especially due to stricter regulations on marine fuel.
      • Natural regional variability, which are variations in the climate system outside of human influence.
      • Climate change induced ocean feedbacks leading to global warming could have also reduced the number of low clouds
    • Consequence of the Decline: 
      • The reduction of cloud cover led to a drop in planetary albedo 
        • 2023 appeared to have the lowest level of albedo since 1940 with approximately 15 per cent of the albedo decline linked to the loss of Arctic snow and sea ice, which are vital for reflecting sunlight.
      • Climate Feedback Loop: The loss of reflective clouds will lead to a positive climate feedback loop whereby it would lead an increased pace of global warming 
      • Warming Effect: Low Altitude clouds reflect more incoming solar radiation then they absorb, thus having a cooling effect on the planet. Its loss will result in more warming.
      • Reduced Rainfall: Tropospheric Clouds hold water that leads to rainfall. The loss of these clouds will also affect the precipitation pattern globally.

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About Low Altitude Clouds

Low-Altitude Cloud

  • These are clouds that form below 6,500 feet (2,000 meters)  and are made up of liquid water droplets or supercooled droplets. 
  • Reflective: They are highly reflective of the sun’s radiation, which cools the Earth’s surface.
  • Characteristics:
    • Composition: Low clouds are made up of more water than high clouds. During cold winter storms, low clouds can contain ice crystals and snow. 
    • Cloud Albedo Forcing: Low Altitude clouds cloud albedo forcing is large and are much thicker than high cirrus clouds and therefore not as transparent which leads to reflection of  much of the solar energy back to space
    • Effect on climate: Low clouds cool the Earth’s surface more than they warm it. However, climate change can affect clouds, and scientists predict that as the Earth warms, there will be fewer clouds to cool it down. 

Albedo

  • The amount of energy reflected by a surface is called albedo. 
    • Dark colors have an albedo close to zero (meaning little or no energy is reflected) whereas Pale colors have an albedo close to 100%, (meaning nearly all the energy is reflected)
  • Planetary Albedo: The amount reflected back out to space is called the planetary albedo.
    • It’s calculated by averaging the albedo of all Earth surfaces (including the land, ocean, and ice). 
    • Earth’s planetary albedo is about 31% meaning that about a third of the solar energy that gets to Earth is reflected out to space.
  • Ice-Albedo Feedback: If there is more snow and ice on the planet, albedo increases, more sunlight is reflected out to space, and the climate gets even cooler. 
    • When warming causes snow and ice to melt, darker colored surfaces are exposed, albedo decreases, less solar energy is reflected out to space, and the planet warms even more.

The Reserve Bank of India (RBI) has allowed small finance banks (SFBs) to provide pre-sanctioned credit lines through the Unified Payments Interface (UPI)

This step is expected to enhance financial inclusion and expand access to formal credit.

Previous Restrictions on UPI Credit Lines

  • Earlier, only scheduled commercial banks were allowed, and other banks such as Small finance banks (SFBs), payments banks, and regional rural banks(RRBs) were excluded from this facility.

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UPI

About UPI Credit Line

  • The UPI Credit Line is a financial product aimed at making access to credit easier. 
  • Developed by : the National Payments Corporation of India (NPCI), 
  • It aligns with the Reserve Bank of India’s vision to enhance credit accessibility.

Key Features of UPI Credit Line

  • Pre-Sanctioned Credit
    • Banks provide pre-approved credit lines to individuals and small businesses.
    • This credit can be used immediately for payments via UPI.
  • Easy Linking
    • Users can link their credit lines to their UPI ID using their registered mobile number.
  • Secure Transactions
    • Every transaction is protected with a dedicated UPI PIN for the credit line.
  • Multiple Payment Options
    • Credit lines can be used to make payments to merchants via QR codes or for online shopping on e-commerce platforms.
  • Credit Insights
    • Users can check their:
      • Credit line status
      • Utilized credit amount
      • EMI details directly in the UPI app.
  • Dispute Resolution
    • Any issues can be resolved easily through the UPI Help (ODR) feature in the app.
  • Flexible Repayment
    • Repayments can be done via:
      • Direct payments to the UPI ID linked to the credit line.
      • AutoPay (e-mandates) for automatic deductions, if applicable.

Benefits of UPI Credit Line

  • Instant Convenience : Provides instant credit for quick and seamless payments.
  • Boosts Financial Inclusion : Helps “new-to-credit” customers access formal credit systems.
  • Supports Economic Growth : Enables smooth transactions, promoting business growth and reducing barriers to credit access.

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What Are SFBs?

  • SFBs are specialized banks licensed by the RBI.
  • They cater to low-income individuals and underserved communities.
  • Offer services like microfinance, micro-enterprise loans, and other basic banking products.
  • SFBs receive scheduled bank status after meeting operational requirements as per Section 42 of the RBI Act, 1934.
  • Example: Capital Small Finance Bank, Ujjivan, Utkarsh etc

Objective of SFBs

  • Enhance Financial Inclusion:
    • Provide savings options to unserved and underserved sections of society.
    • Offer credit to:
      • Small business units
      • Small and marginal farmers
      • Micro and small industries
      • Other entities in the unorganised sector
    • Operate using high-tech and low-cost models.

Key Features of SFBs

  • Registration:
    • Registered as a public limited company under the Companies Act, 2013.
  • Licensing:
    • Licensed under Section 22 of the Banking Regulation Act, 1949.
  • Capital Requirement:
    • Minimum paid-up voting equity capital of ₹200 crore is required.
    • For SFBs converted from Urban Cooperative Banks, the capital requirement may differ.
  • Priority Sector Lending (PSL) Norms:
    • SFBs must allocate 75% of their Adjusted Net Bank Credit (ANBC) to priority sectors as defined by the RBI.

The guidelines for small finance banks provide inter-alia that

  • Promoters: Promoters can include resident individuals or professionals with at least 10 years of experience in banking and finance. 
    • Companies controlled by such individuals are also eligible.
  • Focus area: Primarily offer basic banking services. 
  • Regulatory compliance:  SFB must follow all norms and regulations applicable to commercial banks.
  • It comprises maintaining ratios 
    • Cash Reserve Ratio (CRR).
    • Statutory Liquidity Ratio (SLR)

The Reserve Bank of India (RBI) has introduced MuleHunter.AI, an advanced AI-based tool designed to help financial institutions identify mule bank accounts.

  • Objective: This initiative aims to combat digital frauds and strengthen bank security by identifying accounts used to launder illicit funds.

About MuleHunter.AI

  • Development by RBIH: The MuleHunter.AI tool was developed by the RBI Innovation Hub (RBIH) in Bengaluru using artificial intelligence (AI) and machine learning (ML) technologies.
  • Working: MuleHunter.AI utilizes advanced ML algorithms that can analyze vast datasets more accurately and quickly, improving detection efficiency.
  • Advantages:
    • Advantages over Traditional Systems: High false positives and slow processing times, leading to missed detections. 
    • Improved Accuracy and Speed: The AI/ML model is capable of predicting suspected mule accounts with greater precision and faster than conventional systems. This enables banks to identify mule accounts more effectively, thereby reducing digital frauds.
    • Wider Detection Capabilities: The system can analyze transaction and account details, leading to the identification of more mule accounts within a bank’s system.

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What is a Mule Account? 

  • Definition: A mule account is a bank account used by criminals to facilitate the transfer and laundering of illicit funds. 
    • These accounts are often set up by unsuspecting individuals, either lured by fraudulent schemes or coerced into participating.

Challenges with Mule Accounts

  • Anonymity: These accounts are highly interconnected, making it difficult to trace and recover the laundered money.
    • The Indian government recently froze around 4.5 lakh mule accounts over the past year, highlighting the urgency of addressing this issue.
  • Scale of the Problem: Digital frauds involving mule accounts have become a significant challenge for the banking industry and the economy. 
    • Some large banks report fraudulent transactions amounting to Rs 400-500 crore every month.
  • Undermining Trust: Mule accounts, often used to launder proceeds of cybercrimes, undermine public trust in the financial system
  • Financial Impact: These illicit activities put a strain on the banking sector and have broader implications for national security and economic stability.

INS TUSHIL

Context: INS Tushil is to be commissioned by The Indian Navy  at Kaliningrad, Russia, on 09 Dec 24.

  • Hon’ble Raksha Mantri, Shri Rajnath Singh will be the Chief Guest for the ceremony.

About INS Tushil

  • Name: Tushil, means ‘the protector shield’ and its crest represents the ‘Abhedya Kavacham’ (impenetrable shield).
  • Motto: ‘Nirbhay, Abhedya aur Balsheel’ (Fearless, Indomitable, Resolute), 
  • Frigate: It is a multi-role stealth guided missile frigate
  • It is an upgraded Krivak III class frigates of the Project 1135.6 
  • INS Tushil is seventh in the series of  Project 1135.6  and is the first of the two upgraded additional follow-on ships.
    • Six ships of the Project 1135.6 are already in service i.e.  three Talwar class ships, built at Baltiysky shipyard, St. Petersburg, and three follow-on Teg class ships, built at Yantar shipyard, Kaliningrad.
  • Fleet: INS Tushil will join the ‘Sword Arm’ of the Indian Navy, the Western Fleet, under the Western Naval Command.  
  • Make in India: The indigenous content of the ship has been enhanced to 26% and the number of made-in-India systems have more than doubled to 33.
    • Major Indian OEMs: BrahMos Aerospace Private Limited, Bharat Electronics Limited, Keltron, Nova Integrated Systems from Tata. etc

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UN Commission on Narcotic Drugs (CND)

Context: India has been chosen to chair the 68th Session of the United Nations Commission on Narcotic Drugs (CND) for the first time.

  • Ambassador Shambhu S Kumaran, India’s Permanent Representative to the UN in Vienna, officially assumed the chairmanship.

About the United Nations Commission on Narcotic Drugs (CND)

  • Origin: The CND) was established by the Economic and Social Council (ECOSOC) in 1946, to assist the ECOSOC in supervising the application of the international drug control treaties.
  • Members: 53 member states elected by ECOSOC.
  • Functions:  Governing body of the United Nations Office on Drugs and Crime (UNODC).
  • Principal UN Body on Drug Policy: The CND is the key policymaking body of the UN on drug-related matters.
  • Roles: Monitoring global drug trends, supporting member states in formulating drug policies, and overseeing the implementation of international drug conventions.
  • Headquartered: Vienna

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