WEEKLY NEWS AND ANALYSIS (4TH -10TH JUNE)

INTERNATIONAL NEWS India, Belarus agree on road map for stronger ties  India and Belarus decided to work together on defence and security issues as President Pranab Mukherjee met his Belarusian counterpart and agreed on a 17-point road map aimed at strengthening mutual trust and confidence.  During the talks, the President discussed a host of issues, including increasing trade ties, besides boosting co- operation in mining, education and heavy machinery.  Later, the two Presidents witnessed signing of several agreements and Memorandums of Understandings, including agreements between the Securities and Exchange Board of India (SEBI) and the Ministry of Finance, the Bureau of Indian Standards as well as between the Prasar Bharati and the National State Television.  The agreements included the road map for strengthening mutual trust and having a strong commitment to develop multifaceted and long term co-operation.  The two countries will work for full implementation of the MoU on defence-related technical cooperation and to develop a legal framework for security cooperation  Under the agreement, the two countries will enhance coordination in science and technology, energy sector, metals and mining, potash fertilizers, give boost to raw material in textile sector, extend cooperation by Belarus in modernisation of public electric transport system in India, agriculture and agro processing.  Exchange of students and promotion of tourism also figured in the agreements. Going to The Hague: India and ICJ, the big picture  What is the International Court of Justice (ICJ)?  Based in The Hague in Netherlands, this 15-judge court was established in 1945 by the United Nations Charter.  All members of the UN are automatic parties to the statute, but this does not automatically give ICJ jurisdiction over disputes involving them. The ICJ gets jurisdiction only on the basis of consent of both parties. Where does India stand vis-a-vis dispute resolution at ICJ?  In September 1974, India declared the matters over which it accepts the jurisdiction of the ICJ. This declaration revoked and replaced the previous declaration made in September 1959.  Among the matters over which India does not accept ICJ jurisdiction are: “disputes with the government of any State which is or has been a Member of the Commonwealth of Nations”, and “disputes relating to or connected with facts or situations of hostilities, armed conflicts, individual or collective actions taken in self-defence…”.  The declaration, which includes other exceptions as well, has been ratified by Parliament. Has India ever taken as case to the ICJ?  Yes, once — even though it has been a party to a total five cases, three of them with Pakistan, at the ICJ.  In 1971, India filed a case against the jurisdiction of International Civil Aviation Organisation (ICAO) to decide on Pakistan’s demand that India could not deny it overflight and landing rights. India had withdrawn Pakistan’s overflight rights after the January 1971 hijacking of an Indian Airlines flight to Lahore, and the gutting of the aircraft by the hijackers.  The ICJ ruled against India, saying that ICAO had jurisdiction in this case.  In 1954, Portugal had filed a case against India over denial of passage to what were then the Portugese territories of Dadra and Nagar Haveli. ICJ decided in India’s favour in 1960, saying India’s refusal of passage was covered by its power of regulation and control of the right of passage of Portugal.  In 1973, Pakistan filed a case to stop the repatriation to Bangladesh of 195 Pakistani nationals in Indian custody after the 1971 War, to face trial on charges of genocide, but withdrew the case the next year.  After 1974, Pakistan, a Commonwealth nation, can no longer take India to the ICJ. Didn’t Pakistan also take India to the ICJ in 1999?  Yes, after India shot down a Breguet Atlantique patrol plane of the Pakistan Navy in Indian air space over the Rann of Kutch.  India contested the case, and the ICJ upheld India’s position that the Court had no jurisdiction to entertain Pakistan’s claim. What is the Capt Saurabh Kalia case?  Captain Saurabh Kalia was the first Indian Army officer to observe and report largescale Pakistani intrusion on the Indian side of LoC in Kargil. His patrol, comprising five other soldiers, was captured by the Pakistan army on May 15, 1999. Their bodies were handed over on June 9, 1999.  Post mortem examinations showed evidence of brutal torture: the men had been burnt with cigarettes, their ear drums pierced with hot rods, their eyes punctured before being removed, their skulls fractured, and their limbs and private parts chopped off before they were shot dead.  India has raised the issue with Pakistan as a violation of the rights of PoWs under the Geneva Convention, but to no avail.

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 Kalia’s father filed a PIL in the Supreme Court last year, asking the Indian government to take the case to the ICJ.  The government filed an affidavit in December saying the ICJ had no jurisdiction over disputes between India and Pakistan, and that a PIL could not seek action against a foreign country, as foreign policy is a government function. What has the government said now?  Earlier this week, External Affairs Minister Sushma Swaraj said that if the Supreme Court gave permission, the government would approach the ICJ. What does this position imply?  It is India’s own law, ratified by Parliament, which denies the ICJ jurisdiction over this matter. Even if the Supreme Court asks the government to move the ICJ, it is highly unlikely that Pakistan will accept the Court’s jurisdiction in this case.  Also, going to the ICJ can theoretically open up all cases between India and Pakistan to multilateral jurisdiction, thus weakening New Delhi’s consistent stand that all issues with Islamabad would be resolved bilaterally.  Once India has accepted ICJ’s jurisdiction over bilateral issues, Pakistan could well demand that the ICJ arbitrate on alleged human rights violations in Jammu and Kashmir, or military operations on the Line of Control, or any other issue. Knowledge network to be open to all SAARC nations  India is in the process of extending its National Knowledge Network to all members of the South Asian Association for Regional Cooperation (SAARC) to allow students unimpeded access to digital libraries and network resources, External Affairs Minister Sushma Swaraj said.  At the groundbreaking ceremony of South Asian University (SAU), Ms. Swaraj said the Ministry was carrying out the instructions of the Prime Minister to have the university connect with at least one university in every SAARC nation.  At the 13th SAARC summit in Dhaka, India offered to host the SAU. The university, mooted as one dedicated to the region, has had its share of teething troubles, mainly on account of financial constraints. Pak. yet to pay share: While India has offered to pay the capital cost of $198 million for its establishment, apart from providing close to 40 hectares for the campus, Pakistan is yet to pay its share.  In 2014, a Parliamentary Standing Committee asked the Ministry to expedite the process of seeking funds from Pakistan. Its report said the neighbouring nation owed $7.8 million towards the project since 2010. India signs pact on automatic exchange of tax information  In keeping with what was decided at the G20 Finance Ministers meeting in 2014, India joined the Multilateral Competent Authority Agreement (MCAA) on Automatic Exchange of Financial Account Information.  The declaration to comply with the provisions of the agreement was signed in Paris by the Indian ambassador to France, Mohan Kumar.  Prior to this, 54 countries had joined the MCAA. India is among six countries that joined this pact in Paris, taking the number to 60. The target is to reach 94 countries by 2017.  The new system, dubbed the Common Reporting Standards (CRS) on Automatic Exchange of Information (AEOI), is very wide in scope and obliges the treaty partners to exchange a wide range of financial information, including that about the ultimate controlling persons and beneficial owners of entities.  To be able to comply with the new system, amendments have been made to section 285BA of the Income Tax Act, 1961. Necessary rules and guidelines are being formulated in consultation with financial institutions.  Previously, information was exchanged between countries on the basis of specific requests relating to cases of tax evasion and other financial crimes.  AEOI, when fully implemented, sets up a system wherein bulk taxpayer information will periodically be sent by the source country of income to the country of residence of the taxpayer. India raises with U.S. arms sale to Pak.  On a day when the Army Chief of Pakistan described Kashmir as “the unfinished agenda of Partition”, India took up with the visiting U.S. Defence Secretary, Ashton Carter, the issue of arms sale to Islamabad.  Mr. Carter signed the 2015 Framework Agreement for India-U.S. Defence cooperation with Defence Minister Manohar Parrikar.  The defence agreements are a part of a broader U.S.-India engagement to cement ties.  Even as the U.S. sees India as an ally in the Asia-Pacific, Indian leadership raised the issue of military hardware support to Islamabad with Mr. Carter.  The U.S. has given multimillion dollar military hardware, including F-16 fighter planes, to Pakistan and pitched as a means of capacity-building to fight terrorists on Islamabad border.  U.S. President Barack Obama’s proposal to give over $1 billion in civilian and military aid to Pakistan — a six-fold increase in foreign military financing — for fighting terror, economic development, safety of nuclear installations and improving ties with India, among other objectives, was followed closely by New Delhi. India, Netherlands to fight terrorism  India and the Netherlands will collaborate on fighting terror and cyber crime and have decided to set up a joint working group on counter terrorism, which will hold its first meeting on June 19, 2015.  Prime Minister Narendra Modi said both countries agreed that they stand to benefit from closer bilateral and multilateral collaboration in areas of countering terrorism and extremism.

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 The two nations, which are keen to forge an alliance to fight terror and cyber crime, are also looking to increase bilateral trade and will sign as many as 18 agreements for water management, infrastructure development, defence and maritime cooperation.  The Netherlands is part of the group of countries led by the United States that is helping to break the fighting power of the IS terrorist organisation; it has deployed military trainers to help Iraqi and Kurdish armed forces, personnel and F-16s for air strikes.  The visiting Dutch delegation offered its expertise in flood waters control and for cleaning the river Ganga under the ‘Namami Gange programme.’  The Netherlands which has supported New Delhi’s bid for permanent membership of a reformed United Nations Security Council is also looking at collaboration with India in the defence sector and infrastructure development, particularly in Mumbai.  India, which is the fifth largest source of investments for the Netherlands, for its part has announced e-visas for Dutch visitors to give tourism as fillip.  The two countries will sign agreement on manufacturing of dredgers in India at the Cochin shipyard, on manufacturing of measles and rubella vaccine with transfer of technology, and collaborate on developing coastal roads and metro lines in India, borrowing Dutch expertise. India to take up rebels issue with Myanmar  Even as the security agencies are on the hot pursuit of those behind the ambush by insurgents in Manipur, the Defence Ministry has initiated an internal enquiry into the procedural and intelligence failure that led to the killing of 18 soldiers.  The lapses could be either with the road opening parties which failed to detect the Improvised Explosive Device (IED), or intelligence failure in ascertaining that insurgent groups had conducted reconnaissance over a period of time to zero in on a stretch, where the Army convoys could be targeted in Chandel.  While the Khaplang faction of the Naga insurgent outfit, National Socialist Council of the Nagaland (NSCN), has claimed responsibility for the ambush, security agencies believe that members of Meitei groups the Kanglei Yawol Kanna Lup (KYKL), and the United National Liberation Front (UNLF) were also involved.  As the insurgents are suspected to have crossed over to Myanmar, India will soon share fresh information on their camps, including images, with the Myanmar government seeking a prompt crackdown. The Indian Army is gearing up for a coordinated action with their counterparts in the neighbouring country. China blamed for massive U.S. data breach  China-based hackers are suspected once again of breaking into U.S. government computer networks, and the entire federal workforce could be at risk this time.  The Department of Homeland Security said in a statement that data from the Office of Personnel Management the human resources department for the federal government and the Interior Department had been compromised.  The hackers were believed to be based in China, said Sen. Susan Collins. Ms. Collins, a member of the Senate Intelligence Committee, said the breach was “yet another indication of a foreign power probing successfully and focusing on what appears to be data that would identify people with security clearances.”  But in Beijing, the Chinese Foreign Ministry dismissed the allegations. 8 suspects secretly acquitted by court  Eight of the 10 men reportedly convicted and jailed for attempting to murder Pakistani schoolgirl activist Malala Yousafzai were actually cleared, officials said.  The teenager was shot in the head in October 2012 by Pakistani Taliban militants who boarded her school bus in an attack that also wounded two of her friends and shocked the world.  In April, legal and security officials announced that a court had sentenced 10 men to life imprisonment over the attack, following a trial in Malala’s hometown of Mingora, in Pakistan’s northwestern Swat district.  The suspects had been detained by the Army during a major anti-militant offensive and the existence of the trial was kept secret until after its conclusion. No media were present for any hearings.  Salim Khan Marwat, the Swat district police chief, said that contrary to the earlier announcement, the anti-terrorist court had cleared all but two of the suspects.  Malala, now aged 17, survived the attempt on her life and in October last year became the youngest winner of the Nobel Peace Prize in history for her courageous and determined fight for children to have the right to go to school. Delhi, Dhaka set boundary pact in motion  In a historic step towards improving ties, India and Bangladesh exchanged the instruments of ratification of the Land Boundary Agreement, promising an end to the “stateless existence” of more than 50,000 people in 162 enclaves on both sides of the border.  The deal, signed in 1974, entered the process of implementation after Parliament ratified it in May.  More agreements: o The two countries signed 22 agreements and memorandums of understanding on economic cooperation, trade and investment, security, infrastructure development, education, science and technology, IT and culture.  Earlier, Mr. Modi, and Ms. Hasina flagged off the Kolkata-Dhaka-Agartala and the Dhaka-Shillong-Guwahati bus services. ‘Connectivity deals will benefit both’ Weekly News and Analysis Byju’s Classes-9873643487 3 2015CA_004,005,006,007,008,009,010

 The multi-level connectivity using water and land ways, which are partly in the form of agreements and partly in the form of memorandum of understandings (MoUs), will boost Bangladesh’s economy on the one hand and India’s access to the northeastern States on the other.  While discussion related to re-energising Chittagong and Mongla port in the south of Bangladesh was going on for a while, for the first time both sides have agreed to move forward signing key deals related to enhancement of connectivity.  According to Foreign Secretary S. Jaishankar, one of the key deals is coastal shipping between the two countries. The agreement will “contribute” to the growth of Bangladesh’s shipping industry. “[Now] goods are taken to distant ports, reloaded in feeder vessels and then brought to Chittagong port. [The agreement] will enable direct, regular movement of ships between India and Bangladesh, which would bring the shipping time down from an average of 30-40 days to seven to 10 days [thus boosting the Bangladesh industry],” he said.  The renewal of protocol on inland waterways and transport will also “boost the Bangladeshi shipping industry” said Mr. Jaishankar.  Additionally, the MoU to revitalise the ports in the south of Bangladesh is explained as a win-win deal. Regarding access to Chittagong and Mongla port for movement of goods to and from India with the proposed bridge over the Fenny river on the India-Bangladesh border, there will be road connectivity (from the ports) to Agartala, which will also allow movement of goods from Indian ports to Chittagong and Mongla and can then move on to Tripura and Agartala (this) improving India’s access to north eastern region, while Bangladesh will have access to Nepal and Bhutan,” Mr. Jaishankar said. India, Bangladesh to open more missions  Bangladesh will open a mission in Guwahati and India will open its in Khulna and Sylhet.  The two sides agreed to establish special Indian economic zones in Mongla and Bheramara. Mr. Modi hoped that Indian investments in Bangladesh would help bridge the trade gap between the two countries.  Mr. Modi said he was confident that with the support of the State governments, the two countries could reach a fair solution on the sharing of waters of the Teesta and the Feni rivers.  The two countries have agreed to foster greater connectivity for the development of South Asia. Data hacked from U.S. government dates back to 1985: U.S. official  Data stolen from U.S. government computers by suspected Chinese hackers included security clearance information and background checks dating back three decades, U.S. officials said, underlining the scope of one of the largest known cyber attacks on federal networks.  The breach of computer systems of the Office of Personnel Management was disclosed by the Obama administration, which said records of up to 4 million current and former federal employees may have been compromised.  Accusations by U.S. government sources of a Chinese role in the cyber attack, including possible state sponsorship, could further strain ties between Washington and Beijing. Tensions are already heightened over Chinese assertiveness in pursuit of territorial claims in the South China Sea.  The hacking also raises questions about how the United States would respond if it confirmed that the Chinese government was behind it.  Several U.S. officials, who requested anonymity, said the hackers were believed to have been based in China but that it was not yet known if the Chinese government or criminal elements were involved.  A Chinese Foreign Ministry spokesman said such accusations had been frequent of late and were irresponsible. Hacking attacks were often cross-border and hard to trace, he said.  Some lawmakers and defense officials want a more aggressive U.S. stance against cyber breaches, including legislation to strengthen U.S. cyber defenses. But the administration is likely to move cautiously in response to any Chinese role, mindful of the potential harm from escalating cyber warfare between the world's two biggest economies. G7 summit opens with tough line on Ukraine  The leaders of Germany and the United States hammered home a tough line on Russia as they kicked off a G7 summit dominated by crises in Ukraine and Greece.  German Chancellor Angela Merkel began proceedings by treating US President Barack Obama to some traditional Bavarian beer garden hospitality, with frothy ale, pretzels and oompah brass music played by locals in lederhosen.  “The two leaders… agreed that the duration of sanctions should be clearly linked to Russia’s full implementation of the Minsk agreements and respect for Ukraine’s sovereignty,” a statement from the White House said, referring to a ceasefire deal struck in the Belarus capital.  The folksy welcome and display of US-German unity contrasted sharply with the leaders’ line on Russia, which was excluded from the talks.  Merkel said later that Moscow should stay out of the G7 “community of values” for now over its actions in Ukraine.  The Japanese and Canadian leaders made a point of visiting Kiev on their way to Germany to voice support for Ukraine’s embattled leaders, as government troops again traded fire with pro-Russian rebels in the east.  A key G7 issue would be “standing up to Russian aggression in Ukraine,” Obama said ahead of the talks with Britain’s David Cameron, France’s Francois Hollande, Italy’s Matteo Renzi, Canada’s Stephen Harper and Japan’s Shinzo Abe.  A recent flare-up in fighting in east Ukraine has left at least 28 dead and sparked fears that the escalation will derail the hard-won ceasefire brokered by France and Germany four months ago. 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India-Japan-Australia forum not anti-China: Peter Varghese  India, Japan and Australia discussed concerns over Chinese reclamation in the South China Sea, and hoped a “code of conduct” would be agreed to between China and the ASEAN countries to calm tensions in the region.  Australia’s top diplomat Peter Varghese, in Delhi for the first India-Japan-Australia high-level trilateral talks, said: “It’s the pace and the scale of China’s reclamation which is causing some anxiety in the region.”  At the recently concluded Shangri-La dialogue in Singapore, Defence officials from across the world sparred over the issue, as U.S. Defence Secretary Ashton Carter accused China of amassing 2,000 acres in the seas, “more than ever in history” and of causing “regional tensions” by its actions.  While India has made no comment so far on the reclamation, the government has voiced concerns several times on what it sees as China’s restrictions on freedom of movement.  Mr. Varghese denied that the trilateral meeting in Delhi at this time could be considered an “anti-China front,” saying, “This is not a meeting directed at anyone. We are three countries with a lot to do bilaterally, and we see benefit in cooperation.”  India and Australia also kicked off discussions on their first bilateral naval exercises in Perth. Investment climate  Mr. Varghese said despite a change in the business environment in the past year, the Modi government has been unable to clear several roadblocks to investment as yet.  “But that said, we haven’t managed to remove the obstacles yet,” Mr. Varghese said, listing regulatory hurdles, State and Centre clearances and the Land Acquisition Act delays as the biggest obstacles.  In particular, Mr. Varghese expressed concern over the legal hurdles for Australian mining giant Rio Tinto after the Odisha government decided to scrap a joint venture with it, putting its plans for iron-ore projects in jeopardy. “In Odisha, both the Centre and State are yet to give clearances,” Mr. Varghese said.  “The regulatory burden is seen by companies in Australia as excessive, and also the interpretation varies, so what we are looking for is certainty and simplicity.”  However, he refused to comment on whether Gujarat-based Adani group would be able to clear legal hurdles against its Australian $12.7 billion coal-mine project in Queensland, where a court is hearing cases filed by environmental groups and aboriginal activists.  “When it comes to litigation that is in the hands of the courts, and not much the government can do,” Mr. Varghese explained, claiming all government clearances had been granted to the Adani group.  The Australian Foreign Secretary sounded more hopeful on clearing the impasse over the India-Australia nuclear deal, where administrative arrangements have been held up over differences on fuel-tracking that was announced by Prime Ministers Modi and Abbott in August 2014.  While India insists on IAEA-inspections only, the Australian government is legally obliged to track all Australian-origin nuclear material (AONM).  India, Japan and Australia discussed concerns over Chinese reclamation in the South China Sea, and hoped a “code of conduct” would be agreed to between China and the ASEAN countries to calm tensions in the region.  Australia’s top diplomat Peter Varghese, who is in Delhi for the first India-Japan-Australia high-level trilateral talks, confirmed the discussion on regional security had included concerns over the South China Sea.  “It’s the pace and the scale of China’s reclamation which is causing some anxiety in the region. This is something we’ve expressed publicly, and ASEAN countries have expressed,” Mr. Varghese said in the interview.  While India has made no comment so far on the reclamation, the government has voiced concerns several times on what it sees as China’s restrictions on freedom of movement. Erdoğan concedes no party has mandate after shock Turkish vote  President Recep Tayyip Erdoğan of Turkey has said the country is entering an uncertain period of coalition government after his 13-year-old reign of solid majorities for the Justice and Development party (AKP) was ended by a stunning voter backlash against his increasingly authoritarian rule.  “Our nation’s opinion is above everything else,” Erdoğan said in his first public reaction to the parliamentary elections that represented a watershed by shaving nearly 10 points from the governing party and putting a liberal pro-Kurdish party in parliament in Ankara for the first time.  Erdoğan’s conciliatory tone contrasted sharply with the highly polarising language he used during the campaign.  He said no party had won a mandate to govern alone and urged all political parties to work towards preserving an environment of confidence and stability in the country.  Coalition talks will dominate the coming weeks in Turkey after voters snubbed the president’s plans to change the constitution and extend his grip on power, delivering the biggest blow to the AKP since it swept to power in 2002.

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China monitors exams with drones  Chinese students sat the annual make-or-break university entrance exams , with officials deploying drones or high- tech radio surveillance trucks at schools across the country to try and curb increasingly sophisticated cheating methods.  Authorities have become increasingly concerned about the risk of students using devices such as smart phones — some of which have become smaller and easier to hide — as an illicit aid during tests.  Officials in Luoyang, in Henan province, purchased a drone designed to search for radio signals that could indicate cheating students. UN, Iran head for showdown over nuclear inspections  The chief U.N. nuclear inspector said that Iran has already committed to letting his experts see Iranian military sites and Iranian atomic scientists despite an alleged ban by Tehran, deepening a confrontation over how much openness Iran must accept under any nuclear deal.  Tehran is now negotiating a deal with six world powers that puts long-term caps on its present nuclear activities. The International Atomic Energy Agency, led by Yukiya Amano, will monitor Iran's compliance with the deal.  The U.S. and its allies also say the IAEA must rule on whether or not Iran worked in the past on nuclear weapons before all sanctions imposed over Tehran's nuclear program can be lifted.  Iranian Supreme leader Ayatollah Ali Khamenei declared that "no inspection of any military site and interview with nuclear scientists will be allowed," and Iranian negotiators have since said Khamenei's ban is indisputable.  Amano, however, challenged that, saying Iran already has committed to permit "access to sites, documents (and) people" under a preliminary agreement that outlined components of the deal now being negotiated.  Coming just weeks ahead of a June 30 target date for a nuclear deal, Amano's comments were certain to further inflame the controversy between Iran and the international community over the degree of intrusiveness the nuclear agreement will give the IAEA.  Amano confirmed his agency will not be able to deliver a ruling on the allegations of past weapons work in time for a deal. That means any nuclear agreement will likely keep some sanctions in place until the IAEA submits its findings.  "It will not be an endless process," he said of his probe. "But this is not bound by the June 30 target date."  Iran denies any work on — or interest in — nuclear weapons saying all its activities are meant for power generation and other peaceful applications.  Washington and others at the negotiating table with Iran insist that IAEA have pervasive access both to see if Iran is honoring restrictions on its present nuclear program and to rule on the suspected atomic arms work.  For nearly a decade, Tehran has steadfastly refused IAEA requests for visits to suspicious sites and interviews with individuals allegedly involved in secret weapons.  "The agreement ... will facilitate the clarification of issues with a possible military dimension," he said.  Specifically, Iran agreed to implement what is known as the IAEA's "Additional Protocol" when it agreed in April to the outlines of the deal now being worked on. More than 100 countries have an Additional Protocol agreement that gives the IAEA greater purview of their nuclear activities.  Among other tools, the protocol gives IAEA experts the right to "ask for short-notice inspections or access to undeclared locations," Amano said.  He said the Additional Protocol means Iran will be under the magnifying glass for "years and years" to allow the agency to certify that all present nuclear activities are peaceful. Sri Lankan Cabinet clears new electoral system  After weeks of discussion with political parties across the spectrum, the Sri Lankan Cabinet has finalised the broad contours of the proposed 20th Constitutional Amendment on electoral reforms, leaving many smaller parties “surprised and disappointed.”  According to the decision taken, there will be no change in the size of Parliament. It will remain at 225. This was the major change from what was proposed earlier.  However, unlike in the present system of proportional representation (PR), the proposed scheme marks a combination of the First Past the Post (FPTP) and PR.  The Cabinet’s move will affect not merely Indian Tamils, living in five districts, but also other minorities such as Muslims and smaller parties including the Janatha Vimukthi Perumana (JVP). President Maithripala Sirisena has said any move to prevent the 20th Amendment from becoming a reality would be considered “an act against people.”

NATIONAL NEWS Heat waves on the rise in India  Compared with the previous four decades, the occurrence of heat waves and severe heat waves in the country has increased during 2001-10, the warmest decade for the country and the globe.  A significant trend of a long-term increase in heat-wave days is observed in India during the analysis period (1961- 2010.  The use of the term “unseasonal rain” for what was witnessed in March-April was wrong, although it is an “anomaly”.  The warming of the ocean currents, referred to as El Nino, is common and no significant long-term variations are found in its occurrence.

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Carbon sinks  The Centre is planning to launch of an urban forestry programme to be funded under the Compensatory Afforestation Fund Management and Planning Authority (CAMPA) on World Environment Day, June 5.  “The idea is to plant at least 4,000 trees in the next few months to help create more urban carbon sinks to tackle climate change,” Union Environment Minister Prakash Javadekar said.  The Union Environment and Forests Ministry has already piloted a Bill in Parliament to release nearly Rs. 35,000 crore under CAMPA to all States so they can invest in greening degraded forest areas to boost the Green India Mission. Bharat Electronics develops phones for Army use  Secure, custom-made CDMA phone sets developed by Bharat Electronics Ltd. (BEL), are undergoing trials with the Army. The phones, without camera, have in-built safety features and may be deployed in a year or two across the Army’s various units, BEL’s Chairman and Managing Director S.K. Sharma said.  With work initiated more than a year ago, the handsets are said to replace imported ones that are not encrypted and are vulnerable to eavesdropping by unauthorised people.  The Army’s request for information mentions base transmission stations to be set up in three north-eastern stations. The Navy is also said to be a potential customer.  The indigenous version enables high data transmission and its evaluation is in an advanced stage. The phone sets are made at the Ghaziabad unit of BEL.  On the defence front, Mr. Sharma said the focus was on indigenisation in radars, electronic warfare devices, avionics, network communication or C4i.  Telecommunication was also an important initiative in non-defence business.  BEL was pursuing civil sector business areas such as solar energy, e-governance and smart cards besides inland security that falls outside the purview Ministry of Defence.  It planned to generate 50 MW of solar power along with other PSUs under the national solar scheme over three-to-five years and would invest Rs.300 crore in the projects, Mr. Sharma said.  The defence electronics major makes electronics, communication, radars and imaging hardware for the three Armed Forces. Ex-IB chief is PM’s special envoy on counter-terror  Signalling its growing concern over IS terror and radicalisation, the government has appointed the former Intelligence Bureau Chief Asif Ibrahim to a key post in the Prime Minister’s office.  Mr. Ibrahim, who retired in December 2014, will be the PM’s ‘Special Envoy on Countering Terrorism and Extremism,’ with a charter to liaise with governments in West Asia, Af-Pak and South East Asia.  “His role will include both the international and domestic dimensions of countering international terrorism, which is of great concern to the government.”  As Director IB, Mr. Ibrahim started work on the government’s new counter radicalisation strategy in 2014, which was triggered by the Islamic State takeover of parts of Iraq and Syria, after it emerged that at least a dozen men of Indian origin had joined the terror group.  He is also known to have negotiated with the top leadership in Saudi Arabia and Malaysia on terror cooperation. 20 soldiers killed in Manipur ambush  At least 20 personnel of the 6 Dogra Regiment were killed when suspected militants ambushed their convoy in Chandel district, bordering Myanmar, in Manipur.  In a joint statement, the Naga Army, the Kangleipak Communist Party and the Kanglei Yawol Kunna Lup claimed responsibility for the ambush.  Union Home Minister Rajnath Singh ordered an all-out coordinated offensive against the militants. He held a high- level meeting with Defence Minister Manohar Parrikar, National Security Adviser Ajit Doval and the Chief of the Army Staff, General Dalbir Singh.  A high alert has been sounded in Manipur and Nagaland.  Though security on the border has been increased and reinforcements have been rushed in, most of the assailants are suspected to have escaped to their camps in Myanmar.  The insurgents used rocket-propelled grenades and automatic weapons for the attack. Government sources said the Army personnel could not even put up an effective counter-attack.  Preliminary findings suggested the role of the Nationalist Socialist Council of Nagaland (Khaplang group) in the worst attack in two decades. The group unilaterally withdrew from a ceasefire agreement on March 27.  Arunachal attack: Three soldiers of the 4 Rajput Regiment were killed in an ambush allegedly carried out by the group in Tirap district of Arunachal Pradesh, bordering Nagaland, in May. India loses poultry case against U.S. at WTO  India has lost a case at the World Trade Organisation (WTO) as the body ruled that the Indian ban on import of poultry meat, eggs and live pigs from the U.S. was “inconsistent” with the international norms.  India will have 12-18 months to implement this ruling, after which the U.S. can begin exports of these products to India. “The Appellate Body agreed with the panel’s finding that India’s AI (avian influenza) measures are inconsistent... because they are not based on a risk assessment,” the WTO said.

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 The Appellate Body also endorsed the panel’s finding that India’s AI measures violated global norms on the grounds that the prohibition was limited to just one country and not to all imports from any country with AI risk.  India filed an appeal in January 2015 with the Dispute Settlement Board of the WTO.  India is a big market for the U.S., which is one of the world’s largest exporters of chicken meat. India’s broiler meat consumption has been consistently increasing and is estimated to have touched 3.72 million tonnes in 2014, from 3.45 million tonnes in 2013.  Reacting to the ruling, Washington said the appellate body overwhelmingly agreed with the claim that India discriminates against U.S. products. Centre to auction ten more coal mines  Ministry of Coal, said it would auction 10 coal mines with total reserves of 858.19 million tonne in the third tranche.  The 10 mines, which are located in Maharashtra, Jharkhand, Chhattisgarh and Odisha, have been classified for iron and steel, cement and captive power plant sectors.  Of the geological reserves, extractable coal in these mines is about 356.245 million tonnes.  The government has so far auctioned 29 coal blocks in two tranches to private companies and garnered over Rs.2 lakh crore, surpassing Comptroller and Auditor General’s loss estimates of Rs.1.86 lakh crore in allotment of mines earlier without auction.  The Supreme Court in September last year had cancelled allocation of 204 coal mines to companies without auction terming the same as arbitrary and illegal. One-fifth of food samples adulterated  With the favourite Indian noodle brand Maggi found containing high levels of lead and monosodium glutamate, there is a fear that a good portion of the food we buy from stores might be unfit for consumption.  The Annual Public Laboratory Testing Report for 2014-15 brought out by the Food Safety and Standards Authority of India (FSSAI) says that of the 49,290 samples of food items it tested, 8,469, nearly one-fifth, were found adulterated or misbranded.  However, convictions were secured in only 1,246 cases. Many food adulteration cases never reached the conviction stage.  The report shows that Rs. 6.9 crore in penalties was collected from errant agencies. Data from only 14 States are available in the report.  There is also no information on what the tested samples were of and if any preventive steps were taken when they were found to be adulterated.  The FSSAI is a public authority, formed under the Food Safety and Standard Act, 2006, mandated to ensure that food is safe for consumption. Painting a hazardous picture  Lead content in enamel paints manufactured by small and medium enterprises (SMEs) across the country is hundreds of notches over and above the ideal limit prescribed by the Bureau of Indian Standards (BIS), says a cross- country study by a New Delhi-based non-governmental organisation.  By the study done by Toxic Link, which works on hazardous metal poisoning, over 45 per cent of 101 popularly used local brands of enamel paint in New Delhi, Maharashtra, West Bengal, Telangana, Andhra Pradesh and Gujarat have lead content ranging above 10,000 parts per million (ppm). The ideal limit recommended by BIS is 90 ppm.  Lead is used in paints for durability and colour enhancement.  Excessive levels of lead cause health hazards such as stunted growth in children and lung, heart and kidney dysfunctions in adults.  Lead could get into human body by touch and prolonged inhalation. Once the heavy metal enters the body, flushing it out is difficult, researchers say. Food Safety Act does not specify liability of celebrities  One of the primary statutory objectives of the 2006 Food Safety and Standards Act (FSSA) is to “ensure availability of safe and wholesome food for human consumption” and it makes the promoter, manufacturer, packer, wholesaler, distributor, seller and even the ‘manager’ of a food business outlet liable for violations including ‘unfair trade practice’ in several instances.  But there is no specific word in the Act about the extent or lack of liability or duty of care of the brand ambassador, who signs on to promote the brand as its ‘face’ and takes on the role of a marketing representative. Ganga will be pollution-free by October 2016, says Uma Bharti  River Ganga will show first signs of being pollution-free by October next year and the first project on inter-linking of rivers (Ken-Betwa) will take off within a year, Water Resources Minister Uma Bharti said.  She said the “Namami Gange” project had been “delayed” as the Centre decided to bear the entire funding, instead of asking States to give a matching grant, and thus had to re-work its financial plans and approvals. A sum of Rs. 12,000 crore has been set aside for the project.  The Centre would send teams of young entrepreneurs abroad to study river and ground water management and how to do more irrigation from less water. The teams would be sent to Israel, Australia and the United Kingdom. Poor rain may not hit grain output; Food management vital to tackle drought  India’s foodgrain production is not necessarily severely impacted in years of deficient monsoons. 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food production falling by a corresponding amount. In the remaining seven, the fall in food production was minor, an analysis shows.  The finding is in line with Union Finance Minister Arun Jaitley’s statement that foodgrain production will not be affected in the event of deficient rainfall this year.  This year, however, is a rarity — if the India Meteorological Department’s (IMD) prediction of a deficient rainfall this year holds, then this would be the second consecutive year of poor rainfall.  The analysis, however, shows that the problem India is likely to face is of food management — getting food from surplus areas to deficient areas — rather than production.  In half of the nine years analysed above, the rise in wholesale price inflation during the subsequent year was more than normal. Rainfall and wholesale price inflation usually move in opposite directions (excess rainfall reduces inflation while deficient rain causes it to shoot up sharply).  The Modi government had managed to contain inflation last year despite poor rainfall with measures such as foodgrain releases from buffer stocks. It will have to repeat its feat this year as well, Mr. Jaitley had said.  The quantum of rainfall is not the only parameter that affects foodgrain production. The geographical spread of the rainfall is as important, if not more so the overall quantum of rain the country receives.  Often, only some regions experience deficient rainfall while others receive the normal amounts of rain. Other times, a large number of regions experience deficient rainfall, and that is much more harmful. Gadkari hints at new routes to upgrade ports, services  With employees opposing ports corporatisation, Union Shipping Minister Nitin Gadkari said attempts were being made to find alternatives to upgrade ports and their services, beyond bringing them under the purview of the Companies Act as announced in the Budget.  In the Budget, Mr. Jaitley had announced the government intention to corporatise ports, saying, “ports need to attract investments as well as leverage the huge land resource lying unused with them and to enable us to do so, ports in the public sector will be encouraged to corporatise and become companies under the Company’s Act.”  Managements of major ports, including the largest container port JNPT, have welcomed the move. However, employee unions are opposed to the move and threatened to go on an indefinite strike, which was cancelled following interventions by labour commissioners and a specially constituted panel.  Gadkari sought to allay the fears, asserting that equity would not change hands under the corporatisation move.  Mr. Gadkari said the 12 major ports would be investing Rs.1,000 crore to set up clean power facilities and reduce their reliance on the grid power. Under the plan, a hybrid project involving setting up solar and wind capacities on rooftops as well as windmills on the sea would be done, he said.  Mr. Gadkari said the government was also planning to plant 5 crore trees along the 1 lakh km network of National Highways. ‘Soil, source of lead in Maggi’  The heavy presence of the lead in Maggi noodles has precious lessons to offer us. Food safety officials investigating the matter say the source of lead contamination in the product is the soil.  “Higher lead content was found in the tastemaker of the product, which contains onions, than in the rest of the product, which led to the inference that the presence of heavy metal in the soil in which these were grown must have led to its presence in the food item,” Food Safety and Standards Authority of India (FSSAI) CEO Y.S. Malik said .  Mr. Malik said food samples reported for adulteration in the FSSAI’s Annual Report for 2014-15 were mostly milk, milk products, edible oil and water. Processed food was rarely tested in government laboratories.  “The FSSAI has been functional for merely four years, though the Food Safety and Standards Act was passed in 2006, and as per Section 26, there is huge responsibility on the shoulders of food business operators for self-compliance. If FSSAI starts cracking down on the enforcement front, there will be the allegation of running another inspector raj on our part.”  A Professor of Molecular Biology at Delhi University said the lack of efficient environmental regulation to stop the release of toxic industrial effluents into waterbodies was one of the primary reasons heavy metals such as lead had found their way into the food chain.  In the course of a study conducted at the Centre for Environmental Science and Technology, sewage generated from Varanasi was found to be high in lead, cadmium, chromium and nickel content due to its mixing with effluents coming from thousands of small-scale industries there. Manipur attack: Narendra Modi’s task force wants Army out of counter-insurgency duties in North East  Prime Minister Narendra Modi’s high-level Task Force on the North-East wants the army to be pulled out of counter- insurgency duties in Manipur and Nagaland, and re-deployed east to guard the porous border with Myanmar, government sources said.  The task force will recommend that police in the troubled states be given the lead role in counter-insurgency operations.  The task force’s radical recommendations are significant in the context of ambush in Manipur, which claimed the lives of 18 soldiers.  The ambush is thought to have been carried out by the National Socialist Council of Nagaland’s SS Khaplang-led faction (NSCN-K), operating from bases across the border in Myanmar’s Trang area.

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 New Delhi hopes the plan, by addressing local resentment against alleged human rights violations by the army, will give momentum to Modi’s November 2014 promise to settle the crisis in Nagaland inside 18 months. Key to the plan is reaching a deal that would give Naga tribes living inside Manipur special rights, without changing existing state boundaries.  Though the plan has the backing of the NSCN’s Isak Chishi Swu and Thuingaleng Muivah-led mainstream group, which already runs a proto-state in large swathes of Nagaland, it raised the prospect of marginalisation for Khaplang.  Khaplang, a Myanmar citizen who reached a peace deal with that country’s military in 2012 and then withdrew from a ceasefire with India, now mainly operates from across the border. “He has realised there’s nothing much for him if a peace deal works out and thinks that by playing spoiler, he can enhance earnings as a provider of services to other North-East insurgents, as well as from extortion,” said an Indian intelligence official.  Pressure on Khaplang to break the ceasefire mounted after Nagaland civil society began mobilising against extortion, leading units to split from his leadership in 2011 – notably a faction led by Khole Konyak and Kitovi Zhimoni in 2011.  According to government officials, the success of the new task force plan will depend on New Delhi’s ability to breathe life into the state police force.  In 1997, when the NSCN Isak-Muviah entered into a ceasefire with government of India, the task of maintaining peace was given to the Assam Rifles – India’s oldest paramilitary force, officered by the army. The arrangement continued on from 2000, when the NSCN Khaplang faction also joined in the ceasefire.  The Nagaland Police, which had until then played a key role in counter-insurgency operations, receded into a background role. Thousands of its personnel were moved out of the state, providing back-up to police forces in cities like New Delhi, and even joining in counter-Maoist operations.  But in the years since, the 10,135-strong Nagaland Police – at 446 for every 100,000 residents, India’s largest in population-adjusted terms – has faced serious allegations of corruption. In 2012, for example, an internal investigation found police personnel had sold off almost 100 rifles and carbines, along with over 100,000 rounds of ammunition, on the local black market.  In addition, the force is beset by shortages of top police leadership – a consequence of large numbers of young IPS officers leaving the state on central deputation, citing tough living conditions.  L L Doungel, the Director-General of Police, is a 1987 batch West Bengal cadre officer, serving on deputation to his home state. His deputy, Additional Director-General of Police Rupin Sharma, is a Madhya Pradesh cadre officer. States should help NHAI, says SC  The Supreme Court has signalled to the State governments to help the National Highways Authority of India (NHAI) overcome obstacles before big road projects rather than wilt under local pressures and concerns which hinder the work.  A vacation Bench of Justices P.C. Pant and Amitava Roy made the observation on a plea by the Rajasthan government expressing “helplessness” in removing obstructions — a dry stepwell and a memorial to Baba Balnath — stalling the widening of the Delhi-Jaipur highway.  Under pressure locally, the State government has to think twice about facilitating the road work by doing away with the well and shrinking the memorial compound. The Bench noted that the Rajasthan High Court had said in a May 19 order that the work should go on by removing the well and reducing the memorial area. Draft plans for smart cities, urban renewal on the anvil  Union urban development minister Venkaiah Naidu said draft plans for the proposed 100 smart cities and the new urban transformation mission will be unveiled soon.  "It's our intent to roll out the plans for both smart cities as also the Atal Mission for Rejuvenation and Urban Transformation (Amrut) programme that envisages development of 500 cities simultaneously this month itself," Naidu said.  The government has proposed to spend around Rs 1 lakh crore on the two schemes over the next five years.  While Rs 48,000 crore have been earmarked for 100 smart cities, Rs 50,000 crore are marked for the Amrut scheme for 500 cities.  He said the cities would be selected through a city- challenge competition where states will have to compete with each other on various parameters to get selected.  "They will be judged on the basis of the measures taken with regard to sanitation, sewage treatment, education and health facilities, water management and transport, among others," the minister said.  Development of smart cities, he added, will have to be carried out through public-private partnership only.  The minister said as many as 14 countries have shown interest in investing in the smart city programme. "Apart from the JICA (Japanese International Cooperation Agency) and the World Bank, we have received interests from 14 countries which want to partner with us in funding for the smart cities mission," Naidu added.  “It was formally documented in the Peace and Tranquility accord that was signed in 1993 in the backdrop of friction such as the one caused during the Wandung incident of 1986 in Arunachal Pradesh. Neither side wanted a repeat of such an eventuality,” the sources said.  The sources pointed out that the spirit behind LAC clarification, which was raised by Mr. Modi, is to prevent inadvertent incidents along the border.

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LAC differences may stall India-China CBMs  The China-India track on a possible new round of Confidence Building Measures (CBMs) is expected to see a contest between New Delhi’s insistence on the clarification of the Line of Actual Control (LAC) and Beijing’s focus on the elaboration of a “code of conduct” among border troops.  Diplomatic sources told that the resumption of the clarification of the LAC, which was publicly raised by Prime Minister Narendra Modi during his China visit last month, is one of the core objectives of the CBM process.  The Prime Minister had stated during his visit that LAC clarification would not prejudice the final boundary agreement between the two sides. The Special Representatives of the two countries, on a separate track, are engaged in a lengthy process of negotiations to define the final frontiers between India and China.  The sources said that the code of conduct has already been fully elaborated in the CBM protocol along the LAC that was signed by the two sides on April 11, 2005. “The wide ranging protocol covers all the conceivable contingencies that may arise and ways to address them,” the sources observed.  For instance the protocol — a detailed elaboration of the 1996 CBM accord — limits the size and orientation of military exercises along the LAC, details the protocol that needs to be followed in case of an alleged air intrusion, including a flag meeting within 48 hours of the incident, and prescribes a code of conduct in case of an eventuality of eye-ball to eye-ball military contact in the LAC area.  The sources stressed that the Chinese side was committed to LAC clarification in the documents signed between September 1993 to November 2006, but for some “explicable’ reason have not endorsed the process on paper since 2008. 1996 Accord  The sources said that the LAC clarification process had fully commenced following the 1996 CBM accord where there was an agreement to exchange maps indicating the “respective perceptions” of the two sides regarding “the entire alignment of the LAC as soon as possible”.  The Middle Sector process of clarification was broadly completed, but problems arose in clarifying the Western Sector.  According to an understanding that had been previously reached, the Eastern Sector clarification was to subsequently commence, but the entire process has since been stalled. Teesta deal figures in joint statement  One of the key contentious issues between India and Bangladesh — the sharing of Teesta river waters — finally made it to the joint statement, reaffirming India’s commitment to settle the issue “as soon as possible.”  According to the statement, Prime Minister Narendra Modi “conveyed that deliberations are under way involving all stakeholders with regard to conclusion of the Interim Agreements” on at least two rivers, Teesta and Feni.  While it was not very different from what was said in the joint statement in 2011, there was one critical difference.  In 2015, the Chief Minister of West Bengal visited Bangladesh and participated in key meetings. Later in the evening, Mr. Modi said he would “make it [Teesta deal] happen.” “We should not lose hope ever about this deal,” he added.  India, however, addressed another long-standing demand of its neighbour — to stop the construction of the Tipaimukh Hydro-Electric Power Project on the Barak river on the eastern edge of Bangladesh. Tipaimukh project  “Prime Minister Modi also conveyed that the Tipaimukh project is not likely to be taken forward in its present form due to statutory requirements on the Indian side, and that India would not take any unilateral decision that may adversely impact Bangladesh,” the statement said.  Besides, the statement reiterated India’s earlier position of not initiating “any unilateral decision on the Himalayan component of their river-interlinking project which may affect Bangladesh.”  The two countries signed and exchanged 22 instruments, including four agreements, three protocols, 14 memoranda of understanding (MoUs) and one letter of consent on a range of issues. More power supply  A few topics were elaborately treated in these instruments. Firstly, much stress was laid on augmenting power generation and supply.  The Palatna project will be operational and 100 MW power will go to Bangladesh, while overall supply will be augmented from 500 to 1,000 MW. “Both sides welcomed the consensus to evacuate power from the north-eastern region of India (Rangia/Rowta) to Muzaffarnagar of India through Bangladesh,” the statement said.  Both sides also claimed to have made substantial advance in connectivity. India will get access to its north-eastern States through Bangladesh, while Bangladesh will have access to Nepal and Bhutan.  Moreover, the Bangladesh shipping industry will substantially gain from an agreement on waterways connectivity.  India has also agreed to “remove all barriers to ensure unfettered bilateral trade (to)…narrow the trade imbalance.”  The Bangladesh Television will enter into an agreement to allow BTV in the Prasar Bharati’s DTH platform.  The Indian proposal on opening Special Economic Zones (SEZs) was appreciated by Bangladesh, while both Prime Ministers “expressed satisfaction” at the proper utilisation of the $800-million credit line provided to Bangladesh in 2011. Visa office  The agreements have addressed another contentious issue — the demand and supply gap in visas. “Prime Minister Hasina appreciated the concurrence of the government of India to the opening of a Deputy High Commission of

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Bangladesh in Guwahati as well as the upgrading the Bangladesh Visa Office in Agartala to an Assistant High Commission.  Mr. Modi appreciated Bangladesh’s nod for opening of India’s Assistant High Commissions in Khulna and Sylhet,” the statement said.  Both the Prime Ministers underscored the need to preserve the “memory and legacy” of the 1971 liberation war.  With the ratification of Land Boundary Agreement (LBA), both sides agreed that this was the most constructive and fruitful phase of cooperation between the two countries in recent times.  Mr. Modi received the Bangladesh Liberation War Award on behalf of the former Prime Minister Atal Bihari Vajpayee.  At the award ceremony, Bangladesh President Abdul Hamid declared that the country would honour every Indian soldier who made the supreme sacrifice in the war.  During Mr. Modi’s visit, India and Bangladesh pushed for stronger bilateral ties and agreed on greater regional connectivity for the development of South Asia.  The two countries signed pacts covering areas such as blue economy and maritime cooperation in the Bay of Bengal and the Indian Ocean. A memorandum of understanding was signed on the use of the Chittagong and Mongla ports by India.  The Prime Minister termed ratification of the land boundary agreement between Bangladesh and India as “no less significant as the fall of the Berlin Wall” referring to an article he read in Bangladesh newspaper.  “If you think LBA is about land going this side and that side then thinks again. It is a meeting of hearts,” he said in his address to civil society members. ‘Prima facie, it violates the Telegraph Act’  Amid a furore over the recording of Andhra Pradesh CM Chandrababu Naidu’s telephone conversation with MLA Elvis Stephenson, prima facie the act appears to be in violation of the Indian Telegraph Act, a senior official of the Telecom Ministry told .  “Interception is routinely done… However, the licence agreement of the service providers and the Telegraph Act lay down rules when the government can order interception of messages,” another top source at the Telecom Department said.  The Telegraph Act says the Centre or the State governments can intercept messages in case of public emergency or in the interest of public safety.  At such times, the government is empowered to take possession of licensed telegraphs and order interception.  However, the reasons for ordering an interception must be recorded in writing. In posting of judges, President’s role only ceremonial, Govt tells SC  The government told Supreme Court that the role of the President in appointing judges to the higher judiciary is merely “ceremonial” and “formal” in nature — in reality, it is the Council of Ministers headed by the Prime Minister that makes such appointments.  Arguing in defence of the National Judicial Appointments Commission (NJAC), Attorney General Mukul Rohatgi told a Constitution Bench led by Justice J S Khehar that the appointment of judges was an “executive function”, prescribed under the Constitution to be done by the Cabinet. The President’s role was confined to issuing warrants for appointments, he said.  Earlier, Article 124 of the Constitution had stated that appointment of judges in the top court should be “made by the President” after consultation with those judges of the high courts and the Supreme Court “as the President may deem necessary”.  Similarly, Article 217 had said that a high court judge should be “appointed by the President” after consultation with the CJI and the Governor of the state; the chief justice of the High Court concerned too should be consulted.  However, the Constitutional amendments notified last December have replaced President’s “consultation” with the recommendation of the NJAC, which has to be a six-member body to be headed by the CJI.  Asked by the Bench to explain the role of the President in appointing judges, Rohatgi said, “Let us start with a presumption that his role is ceremonial in nature and he has to act on the aid and advise of the Council of Ministers but for some four-five areas that are specifically mentioned. The consultation is in strict sense with the executive.”  The AG answered in the negative when the Bench asked whether the President can have his independent consultation after ignoring the aid and advise of the Cabinet. “No. he cannot do it. Although there is no bar on him to seek opinions from people he wish, he will have to act on aid and advise of the cabinet. In place of ‘President’, read ‘executive’ in Article 124,” he added.  Rohatgi pointed out even under amended Article 124, the Council of Ministers has a defined role and the Law Minister represents their will in the NJAC.  But then, Bench said the President’s obligation to act on the aid and advise of the Council of Ministers was perhaps confined to discharge of executive functions whereas appointment of judges cannot be said to be an executive function.  There are different chapters in the Constitution. In chapters other than those pertaining to the executive, we think the President exercises constitutional powers and not executive power. Article 124 may be one of them since it is outside the chapter relating to executives. If the President means the Council of Ministers then all appointments can be said to be done by the Cabinet,” it said.

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 “Yes,” replied the AG. “This was the position before 1992-93 when this court gave itself the power to appoint judges through Collegium. Executive was the appointing authority.  Appointing judges can never be a judicial function. Your role is to decide cases and the Constitution-framers had never thought judges will appoint judges,” he added.  But the Bench asked the AG what gave him the impress ion that judges appoint judges when the Collegium only made recommendations and other aspects were examined by the executive.  “It may be a nice, catchy phrase to say judges appoint judges but that is not so. An analogy can state politicians appoint the President,” said the Bench.  Rohatgi further told the Bench that NJAC takes away the judges’ “right to insist upon an appointment” and that an appointment can go through only with a special majority when at least five of the six members agree to it —- he added, though, that this cannot be construed as an affront to the independence of the judiciary.  “Ushering in a new appointments process is symbolic of the will of the people of this country. The Parliament in its wisdom would be the best judge of when the C onstitution would require to be amended to answer to the needs of the citizenry and its wisdom cannot be questioned by this court.  Functionaries like the Prime Minister and Law Minister cannot be viewed with suspicion. I am a judge and so I know the best about who should be appointed cannot be the norm anymore,” said the AG. Myanmar strike: Not the first time Army conducted cross-border operations  Recent military strike targeting rebels who killed 18 soldiers in Manipur is not the first time that India has conducted such operations.  In the past, the Army has gone across the border, into neighbouring countries, to target militant groups operating from those territories.  The Army’s operations — in close collaboration with Mukti Bahini — inside then East Pakistan in the build-up to the 1971 Bangladesh war are public knowledge, although they haven’t been officially acknowledged by the government.  Then there are the cross-border operations conducted across the Line of Control (LoC) in Kashmir by Special Forces and Ghatak platoons of infantry units deployed in the area.  These cross-border operations are usually tactical in nature, conducted over a few hours with targets selected close to the LoC, to cause short-term damage and send a message to the other side.  Among the cross-border operations tacitly acknowledged by the government is “Operation All Clear” conducted inside Bhutan in December 2003 to eliminate North Eastern militant groups based in South Bhutan.  In April-May 1995, following the signing of an MoU for “maintenance of peace and tranquility in border areas”, India and Myanmar (then Burma) conducted a joint military operation, “Operation Golden Bird”.  The Indian Army’s 57 Mountain Division blocked a column of around 200 NSCN, ULFA and KLO militants moving through the Myanmar-Mizoram border towards Manipur, after it picked up a consignment of weapons on the Bangladesh coast near Cox’s Bazar.  The Indian government awarded the Nehru Peace Prize to Aung Sang Suu Kyi at the same time, angering Myanmar’s military rulers who pulled out of the joint operation. This allowed the trapped militants to escape.  The then Eastern Army commander, Lieutenant General H R S Kalkat, later said that “India should leave its Burma policy to the Army. We are soldiers, they (Myanmar Junta) are soldiers and our blood is thicker than the blood of bureaucrats.”  In January 2006, India and Myanmar are believe d to have conducted some smallscale joint military operations inside Myanmar to flush out militants from NSCN (Khaplang) group.  This was supposedly done in exchange of transfer of some military equipment to Myanmar Army by India, following high-level visits by the Indian President, Defence Minister and Air Force chief to Myanmar. But never before have cross-border operations been conducted by India so quickly after an action by militants. Nor have they been acknowledged — even if somewhat ambiguously — immediately.

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AC restaurants alone can levy service tax: Govt  The Ministry of Finance clarified that only restaurants and eating places that have air-conditioning can charge service tax. And the tax will be levied on only 40 per cent of the amount charged.  “Restaurants, eating joints or messes which do not have air-conditioning or central air-heating in any part of the establishment are exempt from service tax.  In other words, only air-conditioned or air-heated restaurants are required to pay service tax,” it said.The effective tax rate, after the increase as of June 1 to 14 per cent, will be 5.6 per cent.

ECONOMY NEWS 25-30% of state’s share in GST must go to urban local bodies  The Ministry of Urban Development has asked for a 25 to 30 per cent share for all urban local bodies in the state’s share of the nation-wide goods and services tax (GST), the unified tax regime that the government plans to roll out from April 2016.A submission to this effect was made on the grounds that GST will subsume most of the revenue sources of urban local bodies, thus depleting its finances.  While GST is expected to be divided between the Centre and states based on a mutually acceptable formula, the ministry has argued that urban local bodies will have to deal with a huge fiscal gap once local body tax, octroi and other entry taxes are scrapped to make way for the new taxation system. The ministry stated that while all cities, except Mumbai, have abolished octroi, none have found a suitable alternative.  The ministry pointed out that octroi was a major money spinner for most municipalities and since its abolition, post the Central government’s directives, the resource mobilisation rate of local bodies all over have gone down. This is expected to be hit further with the scrapping of other municipal level taxes post implementation of GST.  Comparative figures provided by the ministry show that in cities such as Beijing, Sao Paulo, Tokyo and Argentina, 32 to 78 per cent of income tax, sales tax or value-added tax go towards municipal finance.  Arguing for a statutory share for cities in GST, also known as the ‘city GST’, the ministry has said that at least 25 per cent of the state GST should go to ULBs.  A High-Powered Expert Committee on Urban Infrastructure Report (2011) has recommended a share for ULBs on all taxes levied by the state on goods and services. Cashing in on Treaty  Tax treaty benefits are prompting investors to route their investments from Mauritius into India, WTO has said. Between 2010-11 and 2013-14, Mauritius was the largest source of Foreign Direct Investment (FDI), followed by Singapore, except in 2013-14.  “It would appear that part of these large flows may result from the advantages of the tax treaty between Mauritius and India, which may make it attractive for investors to route their investment through Mauritius to take advantage of the preferential provisions, which include exemption from capital gains tax,” according to a report prepared for the sixth Trade Policy Review of India, by the WTO.  It said that FDI inflows had been strong in services including financial, banking, insurance, business, outsourcing, R&D, courier, and technical services, and the automobile industry and telecommunications.  However, FDI flows into India through Mauritius are estimated to have gone down from the last couple of years due to concerns of General Anti-Avoidance Rule (GAAR) and other steps taken by Indian government.  FDI from other countries, including the U.S., the Netherlands and Germany, are increasing.  The report also said that India had bilateral investment promotion and protection agreements that are in force with 72 countries and regions. In addition, Bilateral Investment Treaties (BITS) with 14 countries have been signed but are not yet in force. ESSAY (economy) GST: Good for business, snag for federalism?  It might be useful to begin by quickly summarising the business case for GST.  The GST is a tax reform that has been on the cards for more than a decade. In principle, it is the same as the Value- added Tax (VAT) — already adopted by all Indian States — but with a wider base. While the VAT — which replaced the sales tax — was imposed only on goods, the GST will be a VAT on goods and services.  In the current tax regime, States tax sale of goods but not services. The Centre taxes manufacturing and services but not wholesale/retail trade.  The GST is expected to usher in a uniform tax regime across India through an expansion of the base of each into the other’s territory. This is why a constitutional amendment was necessary — to give concurrent powers to both the States and the Centre to make laws on the taxation of goods as well as services.  The economic arguments trotted out in favour of the GST are basically the same as were given two decades ago for the introduction of VAT. These are twofold.  First, the GST, by subsuming an array of indirect taxes under one rubric, will simplify tax administration, improve compliance, and eliminate economic distortions in production, trade, and consumption.  Second, by giving credit for taxes paid on inputs at every stage of the supply chain and taxing only the final consumer, it avoids the ‘cascading’ of taxes, thereby cutting production costs, and making exports more competitive.  According to the Union Finance Minister Arun Jaitley, thanks to these efficiencies, the GST will add 2 per cent to the national GDP. Weekly News and Analysis Byju’s Classes-9873643487 14 2015CA_004,005,006,007,008,009,010

 But there is one thing the GST will not have a positive impact on: the States’ fiscal, and therefore, political autonomy.  Things don’t look all that dire on paper. As per what’s being referred to as the GST Bill – which is actually the Constitution (122 amendment) Bill, 2014 — passed in the Lok Sabha last month, India will have not a single federal GST but a dual GST, levied and managed by different administrations.  The Centre will administer the central GST (CGST) and the States, the SGST. The monitoring of compliance will also be done independently at the two levels.  However when you move to a GST regime in a federal set-up, some curtailment of the State’s freedom is inevitable. “All goods and services will be divided into certain categories. The rates will be fixed by category, and if I am a state, I cannot shift a commodity from a lower to a higher rate, or put it in the exempt category.”  This is not the only limitation. The rates for both, the CGST and the SGST, will be fixed by the GST Council, whose members will be State finance/revenue ministers and chairman will be the Union finance minister. Once the rates are set by the GST Council, individual States will lose their right to tax whichever commodities they want at the rates they want.  This development needs to be viewed in the context of a steady erosion in the states’ freedom to decide on taxes and tax rates.  While the loss in revenue of the States may well be compensated by the Centre (as provided for in the GST Bill), how does one make good a State’s loss of the political right to fix its own tax rates?  This is not necessarily a bad thing. “Individual States are always catering to some interest group or another. By placing limits on what they can do, we are effectively empowering them to resist interest group politics, where someone or other is always lobbying for concessions or exemptions.”  But this is a problematic argument. “The underlying assumption here is that political representative bodies are irresponsible. So give them less power, less discretion. This is a fundamentally anti-democratic vision of development.”  Moreover, the restrictions imposed by a uniform tax regime could adversely impact States that may be more committed to welfare expenditures.  Perhaps it is to allay this concern that the draft GST bill speaks of the GST Council fixing not just rates but “rates including floor rates with bands”. A band would, at least on paper, give some room for states to vary their rates depending on their need.“To my mind, it is the procedures, definitions, and credit rules that should be uniform for a harmonised tax regime. We should let the States figure out what rates they want.”  However, a GST regime where each State has a different tax rate for different goods and services doesn’t sit well with the industry demand for a single national market with a uniform tax regime.  Besides, if rates will be different, the taxes will be dual, and the dual taxes will be administered independently by the States and the Centre, why not just streamline the existing tax architecture instead of erecting a new one? The social dimension  The answer to this question leads us to the other aspect of the GST, to do with why it started to get widely adopted (as VAT) from the 1970s, paralleling the rise to global dominance of neo-liberal economic thought.  The GST, even in the diluted version proposed in the GST Bill, would still accomplish one thing: widen the tax base and make it identical for both the Centre and the States. That is because, unlike, say, an excise duty (whose base consists of manufacturers) the GST is paid only by the final consumer. The seller of the good or service remits this GST to the State after deducting the taxes already paid by him earlier in the supply chain.  In other words, while the GST, like all indirect taxes, is a tax on consumption, in seeking to institute a uniform rate on all forms of consumption, it tightens the tax net — currently riddled with numerous holes in the form of multiple rates and exemptions and classifications — in addition to widening it.  Many countries that have embraced the GST have also exempted essential commodities from it, or kept lower rates for select goods. But the very logic of GST is such that it works best when the exemptions are zero or minimal.  New Zealand comes closest to the GST purist’s dream — with very few exemptions.  Once implemented — in however compromised a form — this is the direction GST regimes gravitate toward: fewer exemptions, higher rates.  New Zealand introduced GST at 10 per cent — today it is 15 per cent. In the countries where the GST rate was reduced over time, it was made possible by a broadening of the base by minimising exemptions.  This brings us finally to the question that has monopolised the GST debate of late: what should be the taxation rate? The report of the 13th Finance Commission’s Task Force on GST recommended 12 per cent (7 per cent for SGST and 5 per cent for CGST). That was in 2010.  In 2014, a panel of State government representatives mooted a revenue-neutral rate or RNR (rate at which tax revenues for states and the Centre will remain the same as before GST) of 27 per cent ( 12.77 per cent and 13.91 for CGST and SGST respectively.  Both these rates might be unrealistic. A 12 per cent GST will most definitely mean substantial revenue losses for states, as the general VAT rate for many states hovers around the 13-14 per cent mark. And from this week, the service tax (levied by the Centre) has gone up from 12.36 per cent to 14 per cent, a move, ironically enough, intended to smoothen the transition to a GST regime.  A GST rate of 27 per cent, on the other hand, would impose an enormous tax burden on the wage-earning classes, and could prove fatal for any elected government. Weekly News and Analysis Byju’s Classes-9873643487 15 2015CA_004,005,006,007,008,009,010

 In fact, the ideal way to bring down the GST rate without incurring revenue losses is to widen the base by including as many goods and services under its purview as possible. But this could mean that some essential goods currently taxed at a lower rate could end up being taxed at a higher rate under a GST, but it would hit the lower income groups harder.  This might explain why in some developed countries, including Canada and Australia, the introduction of the GST was opposed fiercely by the local working classes, especially the trade unions. The shift towards indirect taxation  Around the world, governments, faced with declining tax revenues, and too fearful that higher corporate taxes will lead to capital flight (or capital slumber), have been turning their attention to indirect taxes, which have a wider base than direct taxes, are more difficult to evade, easier to administer, and not income-dependant beyond a point.

 It’s because the poor and the working classes spend a greater proportion of their income on essential consumption compared to the classes that are better off, that indirect taxes are considered regressive compared to direct taxes, which are typically proportional to the ability-to-pay.  India isn’t immune to this global shift in favour of indirect taxation, accompanied by lower taxes on capital and reduced social spending.  The government has already ticked two of those boxes. The 2015-16 budget, which fixed a roll-out date for GST (April 1, 2016), also abolished the wealth tax, and announced a lowering of corporate tax rate from 30 per cent to 25 per cent over a four-year period.  When the third box, the GST, is ticked, it could become even more so. New demand by States could hit GST rollout  In a setback to the government’s plan of rolling out the Goods and Services Tax (GST) by April 1, 2016, the States demanded that the Centre compensate them fully for any loss of revenue during the first five years of transition to the new tax regime.  In the Constitution Amendment Bill for the introduction of the GST, pending before a Select Committee of the Rajya Sabha, the Centre proposes to compensate the States fully for the first three years, followed by three-fourths of the losses in the fourth year and half during the fifth.  The States power to levy additional sales tax over and above the GST on tobacco and tobacco products. Some States wanted that the purchase tax be not subsumed in the GST. However, if it were to be merged, then they should be awarded compensation for 15 years. Smart city limit for every state, contest among cities  The government’s ambitious Smart City Mission will assign quotas for the number of smart cities every state can develop.  While the nominations for smart cities will be done by the states themselves, no state will be allowed to exceed its quota based on population.  According to the submission made, the selection of the final 100 smart cities will be a two-pronged process involving intra-state and inter-state competitions.  To be eligible for central assistance of Rs 48,000 crore, which will be made available to aspiring smart cities over the next five years, state governments and urban bodies will have to undertake a set of 11 reforms in urban governance and service delivery.

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 Cities within a state will first have to compete with one another and after the state governments pitch their nominations, merely 20 cities that fit the norms will be eligible for funding in the first year of implementation, followed by 40 each over the next two years.  AMRUT is expected to be the NDA’s modified version of the UPA’s JNNURM. Of the 4,041 statutory cities and towns, AMRUT will cover 500 with a population more than 1 lakh each, as also some of the projects that were sanctioned under JNNURM but not completed. NREGA recast to combat threats of deficit monsoon  With monsoon worries rising, the government is set to ramp up and diversify almost immediately the flagship rural jobs scheme to intensify drought-proofing activities and generate income for affected families.  The Mahatma Gandhi Rural Employment Guarantee Scheme (MNREGS) is being recast to include in its work plan activities such as de-silting of water bodies besides the building of check dams, percolation tanks and farm ponds to brace against a possible drought and build assets for future.  The rural development ministry is also going to issue an advisory to all states to take up the same work on a war footing. "We will use satellite mapping to identify areas where the work needs to be taken up. Once the regular monsoon sets in, such construction cannot be done so we have to get into action immediately," a senior rural development ministry official said.  According to data for 22 states, 93,000 water-harvesting structures have been built to provide irrigation to 1.2 lakh hectares of land. About 1,000 blocks have been identified for building water-harvesting structures through intensive participation under the jobs programme. Much of the work under the scheme is related to water and soil conservation.  India's meteorological department lowered its forecast of average rainfall in the June-September monsoon to 88 per cent from 93 per cent, fuelling fears of a drought. Farmers are already under stress due to untimely rainfall in Madhya Pradesh, Rajasthan, Uttar Pradesh and West Bengal among other areas.  The rural development ministry is going to speed up its watershed management programmes. Around 8,214 such projects are in the pipeline to be completed by 2017. Of these, 1,300 projects are expected to be operational this year, bringing additional irrigation to 4 lakh hectares of land.  Only 40 per cent of agriculture area receives assured irrigation in the country.  Earlier last year, the rural jobs programme was converged with the Integrated Watershed Management Programme to help plug gaps in the latter’s projects.  The government is also planning to initiate the work of identifying, demarcating and making a record of all the water bodies in villages. Government to prescribe alternative varieties to save crops after poor monsoon  The central government is preparing on war footing to implement the contingency plans that prescribe alternative varieties/crops to farmers in case of a delayed or deficient monsoon.  However, the ground level implementing agencies are afraid that the farmers' choices will be guided more by market rates of commodities rather than the advice from the government.  Taking trigger from the drought of 2009, a parliamentary committee recommended making district-level contingency plans for all types of weather extremes. Since then, contingency plans are in place for 580 districts. These plans are expected to minimise the loss in production of foodgrains and fodder.  Invoking the contingency plans is the first response of the government to deal with an impending drought. However, at ground level, the plans are seldom implemented successfully.  In case of a delay in the arrival of the monsoon by two to three weeks, different varieties of the same crop that the farmer might have planned are prescribed. However, in case of delay of five to six weeks, or mid-season drought, different crop is prescribed to the farmers.  Apart from market forces, the other challenge is the availability of seeds of drought-resistant, short duration varieties or the seeds of the alternative crops suggested. China, Malaysia, South Korea: FinMin imposes anti-dumping duty on some steel imports  The finance ministry imposed anti-dumping duty for certain stainless steel products imported from China, Malaysia and South Korea, which marks the first decisive move to stem the inflow of such products amid a hue and cry by the domestic steel industry battling sluggish market sentiments and strained margins.  The duty has been imposed on hot rolled (HR) flat products of stainless steel grade with all its variants originating from China at $309 per tonne $316 a tonne from Malaysia and from Korea at $180 a tonne.  The duty has been levied for five years.  Apart from glut of imports from China, stainless steel industry is plagued with imports from countries like Malaysia, Korea and Japan under the Free Trade Agreement.  Apart from this the Indian Stainless Steel Development Associaton have also complained to the government on issue of abuse of India–Malaysia comprehensive economic cooperation agreement (CECA).  The domestic stainless steel industry has started showing signs of being a sick industry, as excessive imports threatened the huge investments and resulted in underutilization of capacities. Many stainless steel players have either approached BIFR (Board for Industrial and Financial Reconstruction) or are under capital debt resructuring mechanism.

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Banking on the RuPay  It was recently revealed by the National Payment Corporation of India (NPCI), a government agency, that RuPay- branded credit cards would be launched in less than 10 months from now. What is RuPay?  RuPay is India’s own card payment scheme. Like all other card payment schemes, notably Visa and MasterCard, it was created to ensure cashless transactions. The scheme was conceived by NPCI, an initiative of the Reserve Bank of India and an umbrella institution for all retail payment systems in the country. Why the name RuPay?  RuPay is a play of the words rupee and payment. It was originally called IndiaPay. So, you can do with RuPay what you can do with other cards?  Yes, you can use them at ATMs, as well as while shopping both online and offline. How does any card system work?  Imagine you are paying for your grocery purchases at a supermarket using your card. When your card is swiped, the seller’s bank submits the transaction through a card payment network (the likes of Visa or RuPay) to the bank that issued your card in the first place.  The card payment network forms the middle layer connecting the card issuing bank and the seller’s merchant bank. When there are other such systems already, why one more in the form of RuPay?  RBI wants to back a domestic card system with a few goals. One, provide affordable electronic transactions for local banks. Two, promote financial inclusion. The idea of a domestic card is to break the dominance of international majors such as Visa and MasterCard.  The website of NPCI also lists as a benefit the fact that transaction and customer data of RuPay users will stay in India. Where are RuPay cards accepted?  They are accepted at more than one million points of sale terminals. Over 20,000 online merchants accept RuPay cards. Internationally, RuPay cards can be used at all Discover & Diner PoS and ATM networks. How affordable are RuPay cards for banks?  Banks pay higher transaction fee in case of foreign cards such as Visa and MasterCard. Since the transaction processing of RuPay happens domestically, it leads to lower cost for clearing and settlement of transactions. According to NPCI officials, the cost is around one-third of the fee charged by foreign card brands. How much does NPCI charge for use of RuPay?  For use at ATMs, banks are charged 45 paise per transaction and 90 paise per transaction at point-of-sale in merchant establishments or e-commerce platforms, irrespective of the transaction value. Other card systems charge more in case of high value transactions. What is RuPay's market share in India?  According to information in the Finance Ministry’s website, around 14 crore RuPay cards have been issued till date. Out of the 50 crore debit cards and two crore credit cards in circulation, this works out to about 27 per cent.  And, this number has been achieved in less than three years. Out of the 14 crore cards issued, 55 per cent are active, according to Finance Ministry data.  The recent Jan Dhan Yojna has given RuPay a big boost as every account-holder is getting the RuPay card. The direct benefits transfer scheme has also helped in making the RuPay cards active. Centre outlines steps to make PSB management more customer-friendly  The government is taking a serious view of the rising number of customer grievances in state-owned financial entities and has outlined measures to make the top management of these institutions more customer-friendly.  In a recent letter to the chiefs of state-owned banks and insurance companies, the finance ministry has asked the chairmen and managing directors of financial entities to directly supervise the issue of customer grievances. Currently, one officer in the rank of general manager or even below looks after grievances in many financial entities.  As per the new advisory, there should not be any need for customers of banks to approach the government through members of Parliament and MLAs.  Any grievance against the bank should be attended by the banks at their level only. Free access to top management should be allowed and proper response mechanism and communication system should be put in place.  The contact numbers of the concerned authorities should be advertised through all available means, the letter says.  The direct intervention by the CMD is expected to lead to an early resolution of the complaint and make public sector entities more customer-friendly.  While a leading insurance company had lost significant market share recently, PSU banks are under pressure from poor performance and rising bad loans.  The finance ministry earlier set up a task force led by former PFRDA chairman D Swarup for conducting preparatory work for the proposed Financial Redress Agency.  This follows the suggestions of the Financial Sector Legislative Reforms Commission headed by Justice BN Srikrishna.  The Commission’s report had said a mere ‘buyer beware’ approach is not adequate in finance; regulators must place the burden upon financial firms of doing more in the pursuit of consumer protection.

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Regulators should coordinate to end ponzi scheme menace, says RBI  The Reserve Bank of India stressed the need for more coordination between financial sector regulators to stop the menace of ponzi schemes.  “One important thing we have seen in recent deliberations is that many of these activities are falling under a regulatory vacuum which means in whose turf it falls many times is a grey area and is not very clear,” said S.S. Mundra, Deputy Governor, RBI, while speaking at a workshop on ponzi schemes organised by Multi-Disciplinary School of Economic Intelligence (MDSEI) at the NACEN (National Academy of Customs, Excise and Narcotics).  “These schemes usually escape the regulatory radar. One of reason is owing to the time of origination they are typically very localised and at a very small scale,” he added.  Each financial sector regulator operates over a certain jurisdiction in India. “We have an institution-specific regulation rather than the activity-based regulation and this leave the scope of some activities falling on fringe, to be left out of the regulatory radar,” Mr. Mundra added.  Ponzi schemes are fraudulent investment schemes, wherein people are promised high returns without having to assume commensurate level of risks.  Mr. Mundra said that regulators are conscious of this aspect and quickly move to bridge any regulatory gap under the inter-regulatory forum such as FSDC and its sub-committee.  He said that unauthorised collection of deposits happen in Tier-II and Tier-III cities where the regulator do not have the presence.  Hence they do not come to know of such unauthorised collection of deposit unless they start receiving complaints from the investors.  “It is here that the role of state and local administrative machinery assumes significant importance,” said Mr. Mundra, adding, “the unauthorised collection of deposit is any way a state subject and the local police have the power to prosecute the offenders.  It is important that the market intelligence gathering is strengthened by the state governments.”  According to him, there is a need to establish an effective two-way communication between the state machinery and the regulators whereby either party should immediately inform the other about any illegal, unauthorised and suspicious financial activities coming to their notice.  Mr. Mundra said that the forum of State Level Co-ordination Committee is a very important forum and there is a need to make it a more active and effective.  The enforcement agencies also do not see the problem until it reaches a much significant proportion and the number of complaints grow.  “Even when these activities come to fore, lack of co-ordinated effort from the investigative agencies and protected legal proceedings fail to create enough deterrence for the fraudster or the potential fraudsters,” said Mr. Mundra , adding, “hence, it is essential that agencies follow a co-ordinated approach to quickly get to the bottom of the problem and bring the culprits to the book and meet out an exemplary punishment.” FinMin schemes: Infrastructure push planned through NIIF, tax free bonds  In a big push to core sector projects that are yet to register a revival in investments, the finance ministry is finalising the contours of the proposed National Investment Infrastructure Fund.  Additionally, the ministry could also allow public sector firms to float tax free bonds of Rs 30,000 crore to Rs 40,000 crore for infrastructure financing.  The two initiatives are expected to help boost investments in the lagging infrastructure sector, that will also get public investments worth Rs 70,000 crore this fiscal through the government.  Announced as part of the Union Budget 2015-16, the NIIF will have an allocation of Rs 20,000 crore, half of which is expected to come from blue chip public sector units.  The finance ministry is understood to have discussed the plan with cash rich PSUs, which would chip in with about Rs 10,000 crore for the fund from their dividend income. Sources said that the balance would come from budgetary allocation by the government.  “Many PSUs are sitting on large amount of funds, some of which can be allocated for the NIIF, which would help provide long term funding for infrastructure projects, some of which are also floated by these very firms,” said an official close to the development.  As a means to get long term funding for core sector projects, finance minister Arun Jaitley had said that the NIIF would raise debt, and in turn, invest as equity, in infrastructure finance companies such as the Indian Railway Finance Corporation (IRFC) and National Housing Board (NHB).  “The infrastructure finance companies can then leverage this extra equity, many fold,” he had announced. World Bank team in India to assess ease of doing business  A two member mission of World Bank is in India to review metrics relating to ease of doing business in India, a key promise of Prime Minister Narendra Modi government.  India is currently ranked 142 among 189 nations in World Bank’s Ease of Doing Business 2015 study. With the exception of two parameters (Getting credit and Protecting minority investors), India does not feature in the top 100 in the remaining parameters.  For example in metrics such as ‘dealing with construction permits’ and ‘enforcing contracts’ parameters, India ranks in the bottom 10 economies as per the ranking, according to the study. Weekly News and Analysis Byju’s Classes-9873643487 19 2015CA_004,005,006,007,008,009,010

 “A two member mission of the World Bank Group is visiting India to collect data and information for Doing Business Report, 2016.  Shailendra Singh, Joint Secretary of DIPP highlighted 10 measures taken by the government on the ease of doing business to the World Bank team.  These included removal of minimum paid-up capital requirement for companies, only three documents required for exports and imports, removal of requirement of filing declaration of commencement for companies among others, as per the official statement. China to have 'veto power' over Asian Infrastructure Investment Bank: Report  China will ultimately have "veto power" over major decisions of the new Beijing-led Asian Infrastructure Investment Bank, the Wall Street Journal reported.  The AIIB, which will be based in the Chinese capital, has 57 prospective members, but the United States and Japan -- the world's largest and third-largest economies, respectively -- notably have declined to join.  The Journal quoted people close to the bank as saying its voting structure will give China the "upper hand" as the largest shareholder, effectively granting it veto power.  According to the bank's articles of incorporation, China is providing nearly US $30 billion of the institution's US $100 billion capital base, giving Beijing between 25 to 30 per cent of total votes, it said.  The AIIB, which is expected to be operational later this year, has been viewed by some as a rival to the World Bank and Asian Development Bank.  But there are concerns over transparency of the lender, which will fund infrastructure in Asia, as well as worries that Beijing will use it to push its own geopolitical and economic interests as a rising power.  Under President Xi Jinping, China is pushing to build on the ancient Silk Road trade routes on land and sea, through its "One Belt, One Road" initiative expected to be partly funded by the AIIB.  But supporters say fears over undue Chinese influence are overblown, and that the participation by more than 50 countries, including ones as diverse as Britain and Iran, will dilute Beijing's power.  The US led a high-profile, and ultimately unsuccessful, attempt to dissuade allies from taking part in the bank.

SCIENCE AND TECHNOLGOY Large Hadron Collider restarts  Scientists hailed a “new era” in their quest to unravel more mysteries of the universe as the world’s biggest particle smasher started experiments with nearly doubled energy levels in a key breakthrough.  The tests at the European Organisation for Nuclear Research (CERN) came after a sweeping two-year revamp of the collider and will help scientists to study fundamental particles, the building blocks of all matter, and the forces that control them.  During its next run, researchers will look for evidence of “new physics” and probe “supersymmetry” — a theoretical concept informally dubbed Susy; seek explanations for enigmatic dark matter and look for signs of extra dimensions.  During what it dubbed as its “Season Two”, the LHC will in the course of the next three years strive to fill gaps in the so-called “Standard Model” — the mainstream theory of how the visible Universe was created but which does not explain dark matter. NASA gets IIT researcher’s inputs for asteroid landing  Shanti Swaroop Kandala, a second-year Ph.D. scholar at the Department of Mechanical and Aerospace Engineering of the IIT, was among the 32 selected from 104 universities across 14 countries to design a mission to land astronauts on an asteroid, extract resources from it and demonstrate the usage of the raw materials.  The two teams formed from among the 32 participants were to produce a viable mission design for the Asteroid Redirect Mission, the next mission of the Jet Propulsion Laboratory (JPL) of NASA.  Every team member had a specific role, and Mr. Kandala was responsible for presenting the engineering aspect of the mission, which included launching the various modules along with new technologies for a multipurpose docking module, a robotic arm and a life-supporting system.  After understanding the nuances associated with the mission from two lectures, they were mentored and guided by top scientists and engineers from the JPL, Caltech, Northrop Grumman, Lockheed Martin and Planetary Resources Inc. Disability burden highest in diabetics  Across the world, India included, even as longevity has increased during the period 1990 to 2013, the number of years both men and women live with disease and disability has shot up.  The major causes of disability in men and women in

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India are depression, anaemia, low back pain, migraine, chronic obstructive pulmonary disease, age-related and other hea ring loss, neck pain (spondylitis), diabetes, anxiety disorders, and uncorrected refractive error.  These are the results of a Global Burden of Disease Study 2013 report published.  Important findings emerge from the study. “Mortality is declining faster than disease prevalence due to treatment and faster than disability, which is also increasing due to ageing.”  In an accompanying Comment piece, Rifat Atun from Harvard University said: “[This] combination is driving the increase in the absolute numbers of years lived with disability and in relative terms as a proportion of total burden.”  For both sexes combined in India, the leading causes of years lived with disability have remained largely the same during the period 1990-2013.  However, the disability caused by disease has taken an increased toll on health due to population growth and ageing.  “The major causes of death and disability are generally different, which has implications for planning of health services,” said Prof. Lalit Dandona, study co-author who is Professor at the Delhi-based Public Health Foundation of India and the Institute for Health Metrics and Evaluation at the University of Washington.  “While ischemic heart disease kills the most number of people in India, it is not a leading cause of disability. On the other hand, major depression is the leading cause of disability in India, but is not a direct cause of death,” he said.  Relative to the 44 per cent growth in India’s population during the period 1990-2013, diabetes has shown the greatest increase in the disability burden.  “The number of years lived with disability from diabetes per million people in India is about 55 per cent higher in 2013 compared with 1990,” said Prof. Dandona.  The total increase in the number of years lived with disability from diabetes in India during the period 1990 to 2013 is 123 per cent. In contrast, the number of years lived with disability from anaemia per million people in India has gone down by 45 per cent.  The number of years lived with disability per million people in India has gone up for many leading diseases from 1990 to 2013.  For instance, it is 16 per cent higher in the case of major depression, 20 per cent higher in the case of low back pain, 26 per cent higher in the case of chronic obstructive pulmonary disease, and 19 per cent higher in the case of neck pain. Chemical contaminants in household spices  The condiments and spices you buy from the local grocery or supermarket may turn out to be harmful to your family’s health.  The latest analysis of the Pesticide Residue Research and Analysis Laboratory under Kerala Agricultural University reveals that coriander, dried ginger powder, dried red chilli, cardamom, cumin powder, pickle powder, garam masala, curd chilli, chilli powder, fennel seeds, Kashmiri chilli powder, rasam powder, and curry powder available in the market are laced with toxic chemicals.  Of the 285 samples of spices, masala powders and process ed food collected from supermarkets in Thiruvananthapuram, Kottayam, Kollam, Kasaragod, Alappuzha and Pathanamthitta, 38 samples of 14 items had contaminants exceeding the limits prescribed by the European Union. While nine samples of five items were found to have contaminants below the prescribed EU standards, 48 samples of 13 items were safe to eat quality.  While residues of endosulfan were found in samples of coriander, samples of jeera were found to be contaminated with dangerous pesticides such as chlorpyrifos, ethion, malathion, methyl parathion, and profenofos.  Dried chilly had residues of chlorpyrifos, sypermethrin, lambda syhalothrin, and cunalfos.  The fact that masala powders, spices and red chilli go into most of our dishes and are consumed daily, exposes the magnitude of the threat to public health, says Thomas Biju Mathew, professor in charge of the analysis.  Of the 34 items of vegetables that were tested, only curry leaves, green chilli, capsicum, and red amaranthus were found to exceed the EU limits of safety, while only one grape sample tested positive from among 12 fruit items.  All the samples of dried fruits were found to be safe to eat quality. Robot can beat cancer, but not red tape  A 54-year-old finance professional with stomach cancer used to take tablets to get over the pain. But they became less effective over time, with his body developing resistance. The father of two used to endure unbearable pain.  His family took him to a hospital in Chennai where Dr. Madhan K umar used Maxio, a robot, to deliver the medicine precisely to the nerve root where the pain originated.  The treatment was done in five minutes, faster than the conventional method that uses continuous X-ray imaging. Weekly News and Analysis Byju’s Classes-9873643487 21 2015CA_004,005,006,007,008,009,010

 The old method, the doctor said, carries a risk of damage to motor and sensory nerves that could lead to paralysis. The patient can now carry on with his routine, which was not possible when he was on painkillers, as they used to cause drowsiness, constipation and blurred vision.  “We are bang on target. Robotics is a big boon,” said Dr. Kumar, a 36-year-old senior consultant at Chennai’s Global Hospitals Group.  The robot that helped him perform complex procedures has been developed by Chennai-based start-up Perfint Healthcare. In the past year, Perfint’s robots have helped treat over 1,500 patients around the world.  Its product managed to enter developed markets such as Germany and Australia. Last year, the U.S. health regulator Food and Drug Administration gave Perfint its approval to sell Maxio there.  In India, said S. Nandakumar, its 46-year-old co-founder and CEO, “the challenge is the delay in the government process, as we focus on government-run teaching hospitals.”  One million new cancer cases are diagnosed in India each year, and this number is projected to jump to 1.7 million by 2035, according to British medical journal The Lancet .

ENVIRONMENT Monsoon: need for better prediction of Indian Ocean events  As a deficient southwest monsoon looms large, scientists are predicting that a developing ‘El Nino’ condition in the Pacific Ocean might cause possible below normal rains this year.  During ‘El Nino’, the surface of the eastern and central Pacific Ocean gets unusually warmer as against the normal pattern of western parts of the Pacific Ocean being warmer and the eastern surface remaining cooler.  The occurrence of El Nino is preceded by several changes in the overlying atmosphere and underlying ocean much before it peaks in the northern hemisphere winter season.  El Nino develops as a coupled ocean-atmosphere system called ENSO (El Nino and Southern Oscillation) as the nature of the Pacific Ocean was generally favourable for a strong ocean-atmosphere interaction.  Normally ENSO has a life span of 12-18 months and the general belief was that there was a higher propensity for drought in India during the developing phase of El Nino.  However, a reverse of this condition leading to excess monsoon occurs during a La Nina event, which was nothing but the opposite of El Nino.  But a near normal monsoon during 1997 when the El Nino phenomenon was the strongest ever recorded in the century forced meteorologists to look for other factors that influence the year-to-year variation of the Indian summer and around the same time scientists discovered an El Nino-like phenomenon in the Indian Ocean called the Indian Ocean Dipole (IOD).  It was noticed that during a positive IOD, the eastern part of the equatorial Indian Ocean becomes abnormally cool and the western part remains unusually warm, while the reverse of this pattern occurs during a negative IOD.  However, unlike El Nino, the IOD lasts only six to nine months due to smaller size of the Indian Ocean basin and since then attempts to link Indian monsoon with IOD were not encouraging as there appeared to be an association between the two only during positive phase of IOD.  Subsequently it was shown that ‘Equatorial Indian Ocean Oscillation’ (EQUINOO) (which was nothing but an oscillation of atmospheric cloudiness between eastern and western parts of the Indian Ocean) together with ENSO could explain the large variation in the monsoon.  It was generally seen that positive EQUINOO with enhanced cloudiness over western part as compared to eastern region was favourable to Indian monsoon.  During the last 65 years, the monsoon never failed when both the phases of ENSO and EQUINOO were positive. Similarly, the monsoon was never above normal when both theses phenomenon were negative.  In fact 1997 was a classic example of a tug-of-war between ENSO and EQUINOO when the latter won and a near- normal monsoon occurred.  However, the outlook on the development of ENSO is still being used to give long-term forecasts of Indian monsoon as it has better predictability than EQUINOO. The need of the hour is to vastly improve prediction system of the Indian Ocean phenomena like IOD and EQUINOO for achieving more accurate outcomes. Indian Ocean warms as Pacific cools  Though surface heat of Earth has stabilised since 1999, studies have found that atmospheric heat continues to rise unabated with the oceans absorbing a large amount of this heat and warming in the past decade (2000-2012).  However, a new study has found that the Indian Ocean has been warming the most rapidly while the adjoining Pacific Ocean has been getting cooled during the past decade. In fact the Indian Ocean accounts for 70 per cent of all the global oceans heat gain up to 700 metres depth during the past decade. Weekly News and Analysis Byju’s Classes-9873643487 22 2015CA_004,005,006,007,008,009,010

 The analysis shows that the abrupt increase of the Indian Ocean Heat Content at 700 metres depth during 2003-2012 was not due to surface heating, but rather due almost entirely to horizontal advective heat convergence (caused by winds and resulting currents).  Further heat budget analysis indicates that inter-ocean heat transport from the Pacific Ocean to the Indian Ocean via the Indonesian passages was the main cause of the increased Indian Ocean Heat; it greatly increased during 2003- 2012, overcompensating for the slightly increased southward heat transport from the Indian Ocean to the Southern Ocean.  The study found that the La Nina-like conditions in the Pacific Ocean, caused by a number of La Nina events in the last decade have caused the cooling of the Pacific ocean by transfer of heat to the Indian Ocean, warming the latter.  The La Nina conditions cause strong easterly winds to blow from the western Pacific Ocean and these winds cause currents to flow westward conveying the heat of the Pacific Ocean into the Indian Ocean through what is known as the Indonesian Throughflow (ITF).  The easterlies are formed due to a pressure gradient between the Pacific and Indian Oceans caused by cold conditions in the east and warm wet conditions in the west during a La Nina.  Also during a La Nina, the walker circulation — an ocean-atmospheric phenomenon of the Indian Ocean — is strengthened. The walker circulation leads to abnormally high sea surface temperatures in the western Indian Ocean which in turn leads to copious rainfall in the western Indian Ocean at the cost of the Indian subcontinent and results in a weak monsoon.  In contrast to this, as there were relatively much fewer La Ninas in the previous decade (1990-99) there was much less warming in the Indian Ocean. Fishermen discover river in Bay of Bengal  Fishermen have helped oceanographers discover a river in the sea that has been meandering its way along the eastern coast of the Bay of Bengal (BoB) after summer monsoon.  The movement of the freshwater mass begins at the end of the summer monsoon and survives for nearly two-and-a half months. It also travels over 1000 km from the northern BoB to the southern most tip of India, say scientists.  The presence of the river was confirmed through continuous monitoring of salinity levels for nearly a decade.  The southwest monsoon roughly lasts from June to September. During this period, water vapour collected at the ocean surface by the powerful southwesterly winds is flushed over Indian continent and the BoB.  A large fraction of the monsoon shower reaches the ocean in the form of runoff and contributes to the freshwater flux into the BoB in equal proportion with rainfall over the ocean.  The large rivers — Ganges, Brahmaputra and the Irrawaddy, and three small others — Mahanadi, Godavari, and Krishna — together contribute approximately 1100 km3 of continental freshwater into the BoB between July and September. This very intense freshwater flux into a relatively small and semi-enclosed basin results in an intense dilution of the salt contained in seawater.  The over 100 km-wide freshwater mass that is formed from river discharges and runoffs is transported down south by the East Indian Coastal Current, the western boundary current of the BoB.  The salinity distribution in the BoB may impact cyclones and regional climate in the BoB.  According to the research paper, the occurrence of this river in the sea along the eastern coast of India was probably not a generic feature that could be observed in many locations in the world.  The peculiar geography of the northern Indian Ocean that resulted in both a massive inflow of freshwater into the semi-enclosed northern BoB and the strong coastally trapped currents along the eastern coast of India were responsible for the formation of the river, the paper suggested. Norway Parliament Votes to Pull Out Sovereign Funds From Coal  Norway's parliament voted today to pull its sovereign wealth fund -- the world's biggest --out of coal,in what is seen as a major victory for environmentalists.  The parliament voted unanimously that the fund -- worth almost 7,000 billion kroner (793 billion euros, USD 890 billion) -- must sell its holdings in mining and power companies that generate more than 30 percent of their output or revenue from coal.  The decision is expected to affect between 50 and 75 international companies, representing holdings of 35 to 40 billion kroner, according to finance ministry calculations.  Given the size of the Norwegian fund, the step is seen a major victory for the international campaign to end the use of highly-polluting coal, six months ahead of an international climate conference to be held in Paris in December.  Norwegian MPs also pointed out that their decision was not just a response to climate change, but also based on financial considerations: coal assets are bound to plunge as climate change efforts increasingly call for coal use to be reduced. G7 leaders discuss Greece; agree to phase out fossil fuels  Group of Seven ( G7) leaders agreed to wean their economies off carbon fuels and supported a global goal for reducing greenhouse gas emissions, but they stopped short of agreeing their own immediate binding targets.  In a communiqué issued after their two- day summit in Bavaria, the G7 leaders said they backed reducing global greenhouse gas emissions at the upper end of a range of 40 to 70 per cent by 2050, using 2010 as a basis.

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 The range was recommended by the IPCC, the United Nations’ climate change panel. They also backed a global target for limiting the rise in average global temperatures to two degrees Celsius ( 3.6 Fahrenheit) compared with pre- industrial levels.  However, they stopped short of agreeing any such immediate binding targets for their economies.  The leaders also took a firm stance on Russia and its involvement in the Ukraine conflict. Ms. Merkel said they were ready, if necessary, to strengthen sanctions against Russia.  They discussed the Greek debt crisis as a group and also in bilateral meetings during the summit. Ms. Merkel said there was not much time left for a debt deal to keep Greece in the eurozone and that Europe was prepared to show solidarity if Athens implemented economic reforms. Songbird may be eaten to extinction  A once abundant bird in Europe and Asia is being hunted to near extinction because of Chinese eating habits, according to a study.  The population of the yellow-breasted bunting has plunged by 90 percent since 1980, all but disappearing from eastern Europe, Japan and parts of Russia, said the study.  Following initial population declines, China in 1997 banned the hunting of the species, known there as the “rice bird”.  It said consumption of these birds has increased as a result of economic growth and prosperity in East Asia, with an estimate in 2001 claiming one million buntings were consumed in China's Guangdong province alone.

PLACE IN NEWS Chennai temple yields more history  The famous Sri Parthasarathy Swamy temple at Triplicane never ceases to amaze history buffs, it seems. The latest to pique their interest is the discovery of an inscription of the Chola emperor Rajendra I on the northwest corner of the sanctum sanctorum.  Adding to the excitement is a mural depicting the Kurukshetra war, a row of horse-drawn chariots and fiercely moustachioed charioteers, all battle-ready, which has come to light as the cement plaster covering it fell off. The mural runs to many metres, but had been inexplicably covered with plaster.  The temple is replete with inscriptions of the Pallavas, who are believed to have built it around AD 600, the Cholas, the Pandyas and the Vijayanagara kings. Eulogy  The fragmentary inscription offers a “prasasthi”, or eulogy, of Rajendra I, speaking of the fame of the emperor, who ruled between AD 1012 and 1044, and his conquests of many lands including in Vanavasi (Banavasi) and the present-day Kalaburgi region, both in Karnataka, and so on.  S. Vasanthi, Deputy Superintending Archaeologist, and R. Sivanandam, Assistant Superintending Epigraphist, who took the estampage and identified the inscription, said it had not been published so far.  The robust physical features of the horses in the work, seen wherever the pigments are exposed, show the painting belongs to the late Pallava period, Mr. Narasimhan says.

PERSONS IN NEWS Litterateur Dasaradhi Rangacharya dead  Dasaradhi Rangacharya, a well-known poet and writer who minced no words in expressing his resentment with the autocratic rule of the Nizam breathed his last.  The reputable writer who also participated in the Telangana Armed Struggle against the draconian rule of the Nizam was rushed to a hospital at Somajiguda after his condition deteriorated and passed away while undergoing treatment. Chowdary is new CVC; Vijai Singh new CIC  The Modi government appointed former chairman of the Central Board of Direct Taxes K.V. Chowdary as the Central Vigilance Commissioner (CVC) and Information Commissioner (IC) Vijai Singh as the Chief Information Commissioner (CIC), filling two vacancies that are key to the institutional framework for accountability.  The CVC’s appointment is subject to the approval of the Supreme Court, which is hearing a public interest litigation petition for transparency in appointments to the post and that of vigilance commissioners.  Additionally, counsel for the PIL petitioners — Prashant Bhushan and Ram Jethmalani — have raised objections to Mr. Chowdary’s appointment on the premise that he does not have a “clean record.”  As for Mr. Singh, the main question that Right to Information (RTI) activists are asking is why the government delayed his appointment by advertising the post of CIC if they had to anyway appoint him. Architect of Kyoto Pact, Green tribunal  TWO STINTS with the Environment Ministry, as joint secretary from 1995 to 2003 and as secretary from 2008-2010, defined new Chief Information Commissioner Vijai Sharma’s bureaucratic career. During the first stint, Sharma, 64, a 1974-batch IAS officer of the Uttar Pradesh cadre, became part of India’s negotiating team at international climate change negotiations. He was one of the architects of the 1997 Kyoto Protocol and is credited with ensuring that it took a favorable view of developing countries. He was also instrumental in bringing the annual climate change talks to New Delhi in 2002.  Ironically, Sharma’s Second stint with the ministry came when developed countries had stepped up efforts at doing away with the Kyoto Protocol. The re- election of the UPA in 2009 brought Jairam Ramesh as environment minister. Weekly News and Analysis Byju’s Classes-9873643487 24 2015CA_004,005,006,007,008,009,010

The two did not always agree, with Sharma being seen more as a traditionalist. Times had changed and Sharma’s bid to become the head of the Framework Convention on Climate Change, the UN climate body, in 2010 did not succeed.  This stint saw the denial of clearances to a series of high – profile projects and the ministry was seen as a roadblock to growth. The decisions on POSCO, Vedanta, Lavasa and others won the approval of courts, however.  Sharma retired in 2010. With degrees in law from London and Harvard, he became one of the expert members at the newly established National Green Tribunal, which he had been instrumental in setting up. Soon after, he got selected as an information commissioner, from where he has been elevated.  A soft- spoken officer, Sharma is described as a man of integrity and knowledge. While his contribution to environmental governance distinguished him, he has an interest in history and culture too. With his wife, Rita Sharma, also an IAS officer, he has authorized a book on the forts of Bundelkhand. Their daughter is named after the river Betwa.

AWARDS South Korean robot wins the battle  South Korean boffins carried home the $2-million top prize after their robot triumphed in a disaster-response challenge inspired by the 2011 Fukushima nuclear meltdown in Japan.  Team KAIST and its DRC-Hubo robot took the honour ahead of Team IHMC Robotics and Tartan Rescue, both from the United States, at the DARPA Robotics Challenge after a two-day competition in California.  But it is about more than just the money, with the teams also winning the kudos of triumphing after a three-year robotics contest organised by the Defence Advanced Research Projects Agency (DARPA), which commissions advanced research for the U.S. Defence Department. Queen, Haider triumphant at IIFA awards  Vikas Bahl’s drama Queen and Vishal Bhardwaj’s Haider scooped major trophies at the 16th IIFA awards, including the best actress honour for Kangana Ranaut.  Queen , a middle class girl’s self-discovery journey after getting ditched by her fiance, and the Shahid-Shraddha Kapoor-starrer set in Kashmir took home three honours each. Gratitude and praise  Shahid, 34, dedicated his award to Vishal for giving him the opportunity and called the film a “scary” one.  Tabu’s powerful portrayal of Shahid’s mother in the film won her the best supporting actress award.  Queen won the award for best picture and story apart from the best actress award.  Anurag Kashyap, in a surprising gesture, lauded fellow director Rajkumar Hirani, while receiving the best movie award for Queen .  Hirani won the best director for highly acclaimed PK .  “This film fearlessly talked about religion in the country and I want to thank my father and mother for it. Like Subhash Ghai, I also feel a film is incomplete without the help of technicians and actors,” Hirani said. Woman of the year  Deepika Padukone took home the woman of the year award. The 29-year-old actress dedicated the honour to all the women across the globe.  “This award is for millions of women,” said the Finding Fanny star.  Bollywood’s showman Subhash Ghai was honoured with the prestigious award for “outstanding contribution to Indian cinema”.  It was presented to him by his Ram Lakhan stars Jackie Shroff and Anil Kapoor. Greenpeace staffer sent back despite holding valid visa  The Union Home Ministry is mulling over a policy to disseminate a list of individuals debarred from entry into India to foreign missions after immigration authorities at the Bengaluru International Airport turned away a Greenpeace International campaigner Aaron Gray-Block, who had a valid business visa.  Mr. Gray-Block, an Australian citizen, said he was surprised when immigration officials detained him at the airport, then confiscated his passport and deported him by putting him on a flight to Kuala Lumpur.  “Though I have received no official communication I heard that I have been blacklisted from entry. This is nothing but a smear campaign,” he said.

SPORTS 14 years later, P Kashyap follows coach Gopichand, topples world number 1  Parupalli Kashyap became the first Indian in 14 years to claim victory over a reigning World No 1 in men’s singles badminton after a sensational quarterfinal win over Chinese Chen Long at the Indonesian Premier Super Series event in Jakarta.  Chen Long, a physically towering giant with the steadiest of games, is considered the strongest contender for the gold medal at the 2016 Rio Olympics.  Pullela Gopichand was the last Indian to trump over a No 1 when he scalped Peter Gade on way to his All England triumph in 2001. Weekly News and Analysis Byju’s Classes-9873643487 25 2015CA_004,005,006,007,008,009,010

French Open 2015: Stan Wawrinka is clay’s new king after win over Djokovic  There were some people who looked at the draw for the 114th edition of theFrench Open more than a fortnight ago and imagined there was at least a reasonable chance the Swiss national anthem would be played on the final Sunday.  But none of them, surely, thought the man gently humming it to him would be Stan Wawrinka, wearing what looked suspiciously like pyjama shorts, in front of a delirious crowd on a sun-bathed Court Philippe Chatrier.  Nadal has slipped to 10th in the world, the first time he has been in double digits since April 2005. For some, these are the best of times; for others they are not. I’ve never really liked grass: Serena  To complete the “Serena Slam” for the second time in her career, the US Open champion will need to conquer the lush green lawns of the All England Club from June 29-July 12.  For a player who won the first of her 20 grand slam titles way back in 1999, Williams has had to wait until the ripe old age of 33 to claim back-to-back Australian Open and French Open titles.  While that has raised the possibility that she could become the first female since Steffi Graf in 1988 to capture the calendar Grand Slam of all four majors in a single year, the world number one is more interested in what comes next.  “I would never have expected at this time in my career to win three grand slams in a row. This for me is unbelievable,” Williams told reporters after beating Czech Lucie Safarova 6-3 6-7 (2) 6-2 in the French Open final.  “I’ve never really liked grass and I just don’t know how I’ve done so well,” added Williams who had swapped her orange tennis dress for a blue-knitted top and black shorts. Its official: Germany named 'Die Mannschaft'  Germany launched their new logo, including the use of term 'die Mannschaft', in an effort to increase international branding of the hugely popular World Cup winners.  Known in many countries by this term, meaning 'team' in German, the country wants to reinforce it with a reference on their equipment and a new logo which includes a fourth star for their fourth World Cup win last year.  "There were many names but none that expressed as well all the things the team stands for," team manager Oliver Bierhoff told reporters.  "Creativity, strength, respect, fair play as well as unity and solidarity."  He said while other countries had long branded their national teams with names used by fans throughout the world, like Italy's Azzurri, Brazil's Selecao and France's Les Bleus, Germany had not done so until now.  The German federation also used the term as the title of its official World Cup movie released last year. Indian Railways wins tennis title  Indian Railways beat France 3-1 in the tennis final of the 20th USIC World Railway Games at Nuremberg .  It was sweet revenge for India as it had lost the final to France in the last edition in 2011.

OPINION Fight against hunger too slow and uneven  Almost 800 million people, or one in nine in the world, continue to suffer from hunger. The number of hungry people has declined globally by more than 167 million over the last decade, and by more than 200 million since 1991; 780 million of the chronically hungry are in developing countries, where their share has declined from 23.4 per cent in 1991 to just under 13.0 per cent at the end of 2014.  Thus, according to the latest State of Food Insecurity in the World (SOFI 2015) report, the Millennium Development Goal (MDG) of halving the proportion of chronically undernourished people in developing countries by 2015 is within reach, but only if progress accelerates sufficiently by the end of this year.  At the 1996 World Food Summit (WFS), heads of government and the international community committed to reducing the number of hungry people in the world by half. Five years later, the MDGs lowered the level of ambition by seeking to halve the proportion of the chronically undernourished.  By the end of 2014, 72 developing countries had reached the MDG Goal 1 target. Of these, 29 have also achieved the more ambitious WFS goal. However, the number of hungry people in the world has only declined by a fifth from the billion estimated for 1991.  In sub-Saharan Africa, more than one in four people remains chronically hungry, while Asia, the world’s most populous continent by far, is also home to over half a billion hungry people. Meanwhile, Latin America, the Caribbean, East and Southeast Asia have significantly reduced both the share and the number of undernourished.  Most countries have reached the MDG target. West Asia and Central Africa have seen a rise in the share of the hungry compared to 1991, while progress in sub-Saharan Africa, South Asia and Oceania has not been sufficient to meet the MDG hunger target by 2015.  While there is no one-size-fits-all solution for how to improve food security, SOFI 2015 identifies several factors that have played a critical role in achieving the hunger target.  Growth needs to be inclusive to reduce poverty and hunger. Access to food has improved rapidly and significantly in countries that have experienced inclusive economic growth, notably in East and South-East Asia. Better performers in Africa met the MDG hunger target while those that made slow progress did not.  Raising the productivity of family farmers can be an effective way out of poverty and hunger by increasing net incomes and in turn investments for further improvements. Improved agricultural productivity, especially by small holder family farmers and incomes, leads to poverty and hunger reduction. Weekly News and Analysis Byju’s Classes-9873643487 26 2015CA_004,005,006,007,008,009,010

 Economic growth is usually helpful as it can expand the fiscal revenue base, including finance social transfers and other assistance programmes. In Latin America and South Asia, social protection has made the difference, especially for the rural poor, who comprise 78 per cent of the poor globally.  The expansion of social protection — cash transfers to vulnerable households, food vouchers, health insurance or school meal programmes — correlates strongly with progress in hunger reduction. Besides the direct impact on relieving hunger and poverty, social protection can enable those with fewer assets to boost their incomes, and invest more, thus enhancing their resilience. SOFI 2015 estimates that some 150 million people worldwide have escaped extreme poverty thanks to social protection.  However, more than two-thirds of the world’s poor still do not have access to regular social support.  Transfers help households manage risk and mitigate shocks that would otherwise trap them in poverty and hunger.  In 2015, the governments of the world are expected to strengthen financing for development, commit to the post-2015 Sustainable Development Goals and ensure the needed collective action to address global warming. Begin With Gram Sabha  Democratic decentralisation, conceived two decades ago, seems to be a lost cause at first sight. Beyond lip service by politicians, neither panchayats nor municipalities have captured the public imagination as viable, responsive, accountable institutions of government.  Just after the Karnataka panchayat elections, which ended on June 2, the continued disempowerment of local governments is again thrown into focus.  Are panchayats as corrupt as portrayed? Is the experience with decentralisation negative? Is it better to implement development programmes through bureaucrat-led state institutions, which are perceived to be less corrupt?  India’s efforts at decentralisation are one of the world’s largest experiments in deepening democracy. However, practices such as bribing of voters, deal-making between different groups and mounting election expenditures have crept in, allowing contractors, criminals and the moneyed to buy their way to power.  Criminal elements are making a beeline for panchayat elections due to the huge amounts of money now flowing into panchayats.  The bureaucracy that works at higher levels is also complicit in this chain of corruption.  Yet it would be wrong to lay all the blame for rampant corruption on decentralisation. Corruption does not increase as a result of decentralisation. It just gets detected faster and is more visible.  There are ways to reverse this trend. First, the institution of the gram sabha has to be strengthened. There is a dire need to improve the quality of deliberation within gram sabhas so as to make them truly inclusive, through smaller group discussions and workshops rather than large meetings, which tend to get dominated by vocal and powerful mobs.  Second, the gram panchayat’s organisational structure has to be strengthened. Panchayats are burdened with work from other departments (conducting surveys, undertaking censuses, distributing benefits) without any compensation. Need-based corruption is then inevitable.  Gram panchayats should be enabled to hold state departments accountable and to have them provide quality, corruption-free services.  Third, we can never have accountable panchayats if they don’t collect taxes. In Karnataka, panchayats are not utilising their powers to collect property tax and user charges fully. They know that if they collect taxes, voters will never forgive them for misusing their funds. Tax collection results in higher accountability.  Panchayats have put in place a system where ward members function like state cabinet ministers and take on sectoral responsibilities in health, education, sanitation, etc, with performance targets. Because of such reforms, more people trust the system and attend gram sabha meetings.  In the overall analysis, improving the functioning of democratic institutions is a constant battle that must not be given up. A centralised system is far worse and much less accountable than panchayati raj. In a new frame  The 2015 Framework for the US-India defence relationship signed on Wednesday takes forward the bilateral ties between the two countries, which have seen an upswing under the NDA government.  In 2011, as Obama’s deputy secretary of defence, Carter drove the Defence Trade and Technology Initiative, proposing an unprecedented co-development of military systems by India and the US. He suggested the co-development of the next-generation version of the Javelin anti-tank missile on a September 2013 visit to India, which was being offered to no other country. The UPA government rejected the offer.  By the end of his tenure as deputy secretary, Carter emphasised the Pentagon’s “decision to change its mindset regarding technology transfer to India from a culture of ‘presumptive no’ to one of ‘presumptive yes’”. The changed mindset is reflected in the two co-development projects announced while signing the agreement: a next-generation solar generator, aimed at addressing energy issues in the field, and a lighter, more “breathable” protective chemical- bio suit for soldiers.  The two countries are working on a mini drone and also expect to co-develop jet engines and aircraft carriers in the future.  Even though the US undertakes joint development of military systems with many countries, the current projects with India are significant because of the “broader, strategic effort” — as US officials put it — that underpins them. These

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announcements also portend a change in India’s mindset about its defence relationship with the US — from transactional to strategic.  But enormous challenges remain. One of these is India’s longstanding refusal to sign the two agreements that US law deems necessary for certain aspects of technology transfer: the Communications Interoperability and Security Memorandum of Agreement and the Logistics Support Agreement.  Moreover, even if these co-development projects were to progress as per plan, the Indian defence manufacturing industry — both private and public sector — lacks the capacity to absorb and use these technologies.  The US has done its bit. It is now incumbent upon the Indian government to undertake structural reforms in order to fully benefit from this partnership. South Asia’s Berlin walls  The widespread image of South Asia as the least integrated region in the world, one that is mired in perpetual conflict, comes from viewing the region through the prism of India’s troubled relations with Pakistan and Delhi’s inability to build on the possibilities for stronger partnerships with other neighbours, especially Bangladesh. As a result, pessimism about the subcontinent’s future has been persistent.  If the problems with both Pakistan and Bangladesh are rooted in the tragedy of Partition, India’s challenges in the northwest shaped the popular, academic and policy debates on South Asian politics.  Modi’s visit to Dhaka this weekend will decisively correct the long-standing bias in Delhi’s foreign policy framework: overestimating the potential for normalisation of relations with Pakistan and underestimating the huge opportunities that Bangladesh has long presented.  The bias was evident in India’s regional policy during the UPA decade. Then PM Manmohan Singh persisted with the Pakistan peace process despite repeated setbacks but could not build on the historic breakthrough in relations with Bangladesh that emerged from intensive negotiations between Delhi and Dhaka during 2009-11.  Modi appears to be doing the opposite. He has put diplomacy with Pakistan on the back burner and brought Bangladesh to the front. For the PM, this is not a question of choosing between Pakistan and Bangladesh.  Contrary to media speculation, Modi’s outreach to Dhaka and the smaller neighbours is not an effort to “isolate” Pakistan. Pakistan is too big and important in global and regional geopolitics to be isolated.  Modi has recognised the current political limits on reworking relations with Pakistan and the expansive opportunities with Bangladesh that have been knocking at India’s door.  Above all, it is about common sense — move forward where you can and avoid difficult projects that offer few political returns on the diplomatic investment.  He was also quick to accept the international award last year to resolve the maritime territorial dispute with Bangladesh. The traditional instinct in Delhi would have been to quibble over minor issues and completely miss the big picture about the maritime challenges and opportunities in the Bay of Bengal.  With that, the PM has liberated the diplomatic energies of Delhi and Dhaka to launch a productive era of South Asian regional cooperation.  But Modi has much work to do in Dhaka. For India and Bangladesh continue to trip over the detritus of Partition.  The PM must now take some big steps to reverse the many negative economic consequences of Partition. It was not inevitable that political partition of the subcontinent had to be followed by economic partition. India’s inward economic orientation after Independence resulted in the break-up of the subcontinent’s two most dynamic and integrated spaces — Punjab and Bengal.  Socialist India’s conscious rejection of regional trade and interdependence, which was emulated in Pakistan and Bangladesh, probably did more damage than the creation of new political sovereignties and drawing of new boundaries.  The emphasis on self-reliance and import substitution had an equally perverse effect. It disconnected and severed the transport corridors that the British Raj built across the eastern subcontinent. Crossroads in the heart of Punjab and Bengal became dead ends.  Although the era of liberalisation and globalisation demanded that India and Bangladesh find ways to quickly reconnect the two economies for mutual benefit, progress has been rather slow.  Delhi had fallen short in removing non-tariff barriers, addressing the growing trade imbalance, modernising connectivity, developing transborder rail and road connectivity and offering substantive transit rights across its territory — for example, between Bangladesh on the one hand and Bhutan and Nepal on the other.  In pushing through the LBA, Modi has demonstrated his seriousness about putting neighbours first in India’s foreign policy priorities.  India has long claimed primacy in the subcontinent. But its regional economic and foreign policies continually undermined that claim.  Modi is now well poised to show that India is on a very different course — of building mutually beneficial partnerships with the smaller neighbours in the promotion of regional peace and prosperity.  Modi’s success in transcending the inherited boundary dispute with Bangladesh by mobilising a massive domestic consensus is bound to improve his government’s credibility in the negotiations with China and Pakistan on territorial issues.  In Dhaka, Modi must unveil forward-looking economic agenda for region.

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Legal status, lack of coordination holding up Aadhaar and DBT  On January 1, 2013, the UPA government launched the Direct Benefits Transfer scheme, centred around the Aadhaar project begun a few years earlier.  Teething troubles and implementation bottlenecks followed, the interest of the outgoing dispensation waned, and both Aadhaar and DBT were relegated to the sidelines.  Prime Minister Narendra Modi asked for universal Aadhaar coverage by June 2015, that DBT be implemented in 300 districts on priority with respect to key schemes including MGNREGA and PDS, and that Aadhaar be made the basis of several new initiatives.  Modi gave Aadhaar and DBT a fresh lease of life — and yet, a year later, both seem stuck in limbo all over again.  Aadhaar provides a unique 12-digit identity number based on biometrics to every resident of India, while the DBT scheme aims at eliminating middlemen and ensuring money reaches beneficiaries directly.  Why have these two sound initiatives on paper failed to take off despite the backing of two successive regimes?  Aadhaar’s biggest problem is lack of legal backing. The Unique Identification Authority of India, which is in charge of the project, functions through an executive order. The National Identification Authority of India Bill that would give the necessary legal backing has remained in cold storage.  And a crucial issue the government will have to resolve first is whether Aadhaar is for all residents — not just citizens — of India, given particularly the RSS fear that it will end up handing a legitimate ID to “illegal immigrants”.  The Supreme Court directive that Aadhaar can’t be made mandatory for any service — which the government can’t oppose until Aadhaar gets legal validity — has complicated the issue.  As long as Aadhaar has only an enabling role without being mandatory, it remains just another ID proof, and not the single most important way to ensure services reach targeted beneficiaries, eliminating duplication and ghost beneficiaries.  This also means DBT has suffered, given the very basis of the scheme is ensuring that services reach the beneficiary through an Aadhaar-enabled payment system.  While the enrolment of beneficiaries is not a big concern, seeding of their bank accounts with Aadhaar numbers is. It is not clear whose area of work that is, and there is confusion over how to identify beneficiaries whose accounts need to be seeded, and then ensure the needful is done.  The implementation of DBT has also suffered from the lack of coordination and monitoring. The UIDAI looks after the Aadhaar aspect, the Department of Financial Services (in the Ministry of Finance) the banking part, and the final implementation is with individual ministries whose schemes are under DBT. The confusion has ensured that DBT has remained more of an idea on paper, successful only in bits.  The so-called ‘Business Correspondent’ model, under which there must be a sufficient number of facilitators in each district to ensure the beneficiary is able to access her bank account to withdraw the benefit, is still in a nascent stage, slowing down DBT.  From PDS to LPG subsidy, scholarships and pensions to social welfare schemes like MGNREGA, all now rely on these two schemes. It is important to ensure that Aadhaar does not become yet another glorified ID proof in the wallet, and DBT, yet another well-intentioned idea with no impact. Eggs And Prejudice  Few people realise food intake in India is very poor.  According to the 2005-06 National Family Health Survey, around 10 per cent of breastfed children aged six to 23 months had meat, fish, poultry, egg or milk products the day before the survey. Among children who are not breastfed, the figures are equally bad.  The urgent need to improve the quality of food provided in the mid-day meal (MDM) and Integrated Child Development Services (ICDS) schemes has not been adequately recognised.  Cost is a major constraint. Allocations for child nutrition programmes are quite small (Rs 5-7 per child per day).  Only states where the government is committed to the issues make additional allocations required to provide nutritious foods such as eggs. This year’s cuts in Central allocations for ICDS and MDM are likely to strain state budgets further.  Perishability and fear of adulteration impede improvements in food quality. Though milk and dal are protein-rich, both can easily be diluted and milk is perishable.  Creative thinking can lead to solutions. In Karnataka, milk powder is supplied.  Eggs provide a nutritious and affordable solution. They contain all the nutrients (except vitamin C) required by small children and are generally more nutrient-rich than vegetarian options — without the problems of perishability and adulteration).  People can easily monitor whether they have got their full entitlement, whereas that’s quite difficult with milk or dal.  Further, eggs are important for infants, as they are nutrition-dense. In Odisha, eggs have emerged as the perfect “take-home ration” for children under three.  Recent arguments for denying eggs to children and forcing vegetarianism on them include: the strongest animals, horses and elephants, are vegetarian; Sant Ravidas was vegetarian, so all Dalits should be like him; as Dalits cannot afford non-vegetarian food anyway, schools and anganwadis need not provide eggs; separate seating arrangements might be difficult to manage.

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 Without saying it explicitly, the message has been clear: rather than hurt the sentiments of a few among the so-called upper castes, it is better to keep eggs out.  Caste resistance is an important part of why northern and western states do not provide eggs.  Often, these arguments are disguised as “rational”. First, create an impression that if eggs are on the menu, vegetarians will be forced to eat them (ignoring that vegetarians can be given fruit instead). Then, dress it up as a “freedom to choose” issue. Ironically, those who deny free choice to non-vegetarians are the ones levelling this allegation. Who rules cyberspace?  It is difficult not to be troubled by how the Internet is everywhere, but without any clear means of accountability and political reaction to how much it is changing around us.  But without sufficient clarity regarding the nature of the problems and the required solutions, mere general political scepticism cannot hold a candle to the populist governmental-hands-off-the-Internet sentiment. The latter is expectedly strongest among the richer classes, who trust the devices of the market to get the Internet to do their bidding.  Other than routine knee-jerk reactions over people freely expressing themselves on the Internet, which could threaten various kinds of power elites, while also sometimes causing genuine security and cultural concerns, there exists no serious political conceptions around the Internet in India today, much less its appropriate governance in public interest.  This state of affairs is quite detrimental to society as the Internet is becoming closely associated with social power and control in almost all areas.  It has become like a global neural system running through and transforming all social sectors. Whoever has control over this neural network begins to wield unprecedented power — economic, political, social and cultural.  Two elements of this emerging system are the connectivity architecture and the continuous bits of information generated by each and every micro activity of our increasingly digitised existence — what is generally known as Big Data.  Even a superficial scan of how the triple phenomenon of digitisation, networking and datafication is occurring in every area will suggest the nature of consolidation of power in the hands of anyone who can control these two elements.  Every sector is impacted: Take the agriculture sector for example. Monsanto is now increasingly a Big Data company, as it holds almost field-wise micro information on climate, soil type, neighbourhood agri-patterns, and so on. Such data will form the backbone of even its traditional agri-offerings.  It is easy to understand how data control-based lock-ins are going to be even more powerful and monopolistic than the traditional dependencies in this sector.  Recently, John Deere, the world’s largest agricultural machinery maker, told the U.S. Copyright Office that farmers don’t own their tractors. Because computer code runs through modern tractors, farmers receive “an implied license for the life of the vehicle to operate the vehicle”. There is a pattern of end-to-end informational controls.  Similar developments are occurring in every other sector. Policymaking and governance are becoming dangerously dependent on Big Data, even as the public sector is all but giving up its traditional responsibilities for public statistics.  The state is increasingly dependent on data collected and controlled by a few global corporations. Data companies such as Google are entering verticals like automobile and health in a manner that is threatening the traditional players in these sectors.  Doctors subscribing to medical information networks carrying patient data, disease demographics, pharma information, and so on could soon become but appendages of the network. The network they think right now is a mere support may become the primary agent in the relationship.  Such is the power of the network, vis-a-vis its peripheral users. Network and data providers in the education sector sell their services in the name of personalised offerings for every student, and every context. Schools with resources may find them alluring, but then they merely add to the power of the monopolistic networks, at the expense of their peripheral users.  As their power consolidates, so do the terms of engagements mutate in the favour of the network controllers.  On the individual-use front, it is perhaps even easier to see the kind of social power exercised by those who can at will alter the algorithms of Facebook and Google, which increasingly provide us the logic and pattern of our social relationships and of means of accessing information and opinion making.  All this should set us thinking about who really controls the digital connectivity patterns and Big Data.  In this regard, one can speak of a global unipolar networked-digital complex, with its elements of political and commercial power, both overwhelmingly concentrated in the U.S.  One comes across periodic discussions on freedom of expression issues, while the state, and some civil society actors, have begun to show heightened security-related anxieties.  But one hears nothing about the overall new architecture of social power and control that is getting built, with its core in the U.S. It implicates very significant long-term economic, political, social and cultural issues that should greatly concern a country like India.  Even freedom of expression and security are significantly related to this new power architecture.

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 Civil society engagement in this area is dominated by middle class interests, whereby markets tend to be considered as essentially benign. Their major struggle is against the excesses of the state, the Internet no doubt being a significant new arena for such excesses.  This has resulted in serious blind-spots regarding the larger architectural issues about the global Internet, with far- reaching economic, social and cultural implications. It is urgently required to undertake a systematic examination of these issues, situating them in the geo-political and geo-economic logics that overwhelmingly drive them. Appropriate domestic and foreign policies have to be developed within such a larger understanding.  The only option left for India is to go with the strong nations that are similarly placed with respect to U.S.’s digital hegemony.  India should work through the BRICS group (Brazil, Russia, India, China and South Africa) to develop an alternative to the U.S.-based global unipolar networked-digital complex.  It could be difficult for BRICS to work together on issues involving civil and political rights, for which reason the cooperation could focus on economic issues. The global architecture of the Internet today is mostly determined by its geo-economic underpinnings.  Going beyond the typical one-off treatment of Internet and big data issues, BRICS must begin to see them in a larger geo-systemic framework.  That would be the biggest game changer with respect to what is now a complete stalemate over global governance of the Internet. Manipur: waiting to happen  The killing on June 4 in Manipur’s Chandel district of 20 Army personnel of the 6 Dogra Regiment was an incident waiting to happen. It is a miracle that such attacks have not taken place earlier and will be equally surprising if they don’t recur.  Given Manipur’s troubled past, there is something eerie about its tranquillity today. Once upon a time, Manipur used to be the most insurgency-affected State in the Northeast, with more than 30 outfits operating there. However, over the last five years (except 2012), the State has reported less than 100 insurgency-related deaths per year.  Since 2008, the annual fatalities among security forces have remained below 20. This year, till the Chandel ambush took place, only two security personnel had been killed.  This shows that with arrests of key leaders and with defections and splits within militant outfits, militancy in Manipur is now at its weakest. However, the June 4 attack proves that even during a time of weakness, the militants have the capacity to carry out a serious strike.  It was hoped that Myanmar’s promised cooperation would end insurgency movements in the Northeast. There has been no concrete action on Myanmar’s part.  Without Myanmar’s cooperation — similar to how Bhutan in 2003 and Bangladesh since 2009 launched systematic clean-up operations — the problem of militancy in Manipur, Nagaland and Assam cannot be solved. Nothing short of a prolonged joint operation with the Indian security forces stationed on the Indo-Myanmar border will work.  Since the 1994 MoU, India and Myanmar have conducted annual security negotiations at two levels: the Home Secretary and the Joint Secretary level. On each occasion, Myanmar has assured India that it will not allow its soil to be used by IIGs. However, the assurances have remained confined to paper and press statements.  Myanmar suffers from two drawbacks that make peace along the border look extremely remote. One, it is still busy arriving at a country-wide ceasefire with the ethnic armed groups inside its borders, which includes the NSCN-K.  Two, despite being supplied with weapons and equipment by India, its policies against the IIGs have never gone beyond small areas and short-duration operations. Advanced information continues to be passed on to the insurgents by Myanmar’s local military commanders, who receive protection money from these groups. India’s own faults o India’s own efforts at ensuring some degree of border security along the porous 1,643-kilometre Indo-Myanmar border must come under some introspection. o A paper submitted by the National Security Advisory Board in 2010 pointed to the fact that the 46-battalion strong Assam Rifles, the paramilitary force that guards the Indo-Myanmar border, is so short of strength that it stations its forces 40 kilometres away from the border. It deployed 31 battalions in counter-insurgency duties, leaving only 15 battalions to guard the risky border. o Moreover, operational control of the paramilitary force has remained a bone of contention between the Ministry of Home Affairs (MHA) and the Ministry of Defence. o The proposal under the United Progressive Alliance government to replace Assam Rifles with the Border Security Force has been nixed by the present regime. o The fact that MHA’s own assessments of the threats emanating from Myanmar are so out of sync with reality is evident from the following statement. o On March 2, 2015, an MHA official told the media, “There is no real danger from any activities on the India- Myanmar border. In fact, there is a need to strengthen ties between the two countries and allow borderless travel and trade. Any additional build-up of force or change in deployment will send a wrong signal to the country which is our neighbour and friend.” o Such laxity has resulted in the Indo-Myanmar border being guarded by a force that simply does not have the adequate numbers to foil militants or even arms and drug smugglers.

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 Just as the 2014 massacre by the National Democratic Front in Bodoland in Assam and the army operation that neutralised over 150 of its cadres did not result in the decimation of the outfit, militancy in Manipur will continue to survive.  Reactive measures, as the history of insurgency in the Northeast tells us, have never achieved lasting results. After the ambush: What needs to be done for peace in Manipur  While the perpetrators of the ambush of an Indian army convoy by militants in Manipur's Chandel district are yet to be identified, all available evidence indicates the ambush was authorised by a new umbrella militant outfit called the United Liberation Front of Western South East Asia (UNLFW in short) formed a couple of months ago under the leadership of Khaplang, chairman of NSCN(K), a Naga insurgent group active in eastern Nagaland and having camps in the adjoining areas of Myanmar.  UNLFW is said to be a conglomerate of NSCN(K), United Liberation Front of Assam - Independent (ULFA-I), National Democratic Front of Boroland - Songbijit (NDFB-S), and Kamatapur Liberation Organisation (KLO).  This is not the first ambush inspired by UNLFW. There were two other ambushes on the Assam Rifles in the past few months, resulting in a loss of lives.  NSCN is a Naga insurgent group formed in 1975, having Naga sovereignty as its objective.  In 1988, the group split into two factions, NSCN (IM) and NSCN (K). The Government of India and NSCN (IM), the larger group, entered into a ceasefire agreement in 1997 and peace talks soon after. The ceasefire still holds -- incidentally, it is one of the longest ongoing ceasefires in the world -- and the negotiations continue.  NSCN(K) also desired a ceasefire and in 2001 the government entered into such an agreement. Owing to strong differences between the two factions of NSCN, and also the fact that Khaplang himself lives mostly in Myanmar, direct formal peace talks with him could not commence.  In March 2015, Khaplang expelled two NSCN(K) leaders and unilaterally abrogated the ceasefire with the government on the ground that the ceasefire did not lead to any political solution.  The expelled leaders formed a new outfit called NSCN (Reformation) and in April 2015 signed a ceasefire agreement with the government for a period of one year.  The government expressed its dissatisfaction with the Khaplang faction as its cadres continued to commit ceasefire violations and extortions.  NDFB(S) and ULFA(I) are also anti-talks factions, and have split from the parent organisations when the latter settled for negotiations with the government.  Reports that many other Meitei insurgent groups such as KYKL and KCP were closely involved with Khaplang in planning the creation of UNLFW, as a coordinating body to achieve the common objective of fighting against the government, are worrying. This tie-up could lead to various Northeast insurgent groups finding safe havens in NSCN(K) camps in Myanmar, easier procurement of illegal arms, better training for militant cadres, etc.  Manipur is largely comprised of hills (80% of the area) dominated by the Naga and Kuki tribes and the valley area (the remaining 20%) is almost exclusively inhabited by the Meiteis (read Manipuris).  There has been a large number of Meitei militant groups operating in the valley for several years. Their principal grievance is that the merger of Manipur state was done under pressure and that the Government of India gives more attention to Naga issues and not to issues related to the Meiteis.  Irrespective of the merits of these arguments, the fact remains that neither the government nor the Meitei insurgent groups ever seriously attempted to get to the negotiating table.  The Meitei insurgency is being treated essentially as a law and order problem. It is important that a serious political dialogue is started with the Meitei groups to look at their social, developmental and political issues.  Simultaneously, the government should seek necessary cooperation from the Myanmar authorities to deny safe havens for militant groups active in India. The international border has to be managed in an effective manner to stop crossing over of militants.  Taking into account the cross movement of insurgent groups in the Northeast, the responsibility of sealing the India- Myanmar border should be the sole responsibility of the Army.  The state police forces should be strengthened substantially. They can be supported by central police organisations, which have been substantially strengthened in the last decade.  If conditions in the Northeast improve, the government should review the use of the Armed Forces Special Powers Act in specific areas. Modi’s day in Dhaka  The People’s Republic of Bangladesh represents one Muslim-majority society where the majority is against it being an Islamic state.  Yet, its largest and strongest neighbour had refused to understand and process for nearly half a century the fact that the country to the east of West Bengal, fraught with religious and political polarisation, was expecting India to play a momentous but friendly role for it, sans its big-brother identity.  Finally, a Prime Minister, who had shown deep commitment in the past to a particular religion in his own country, realised that an overwhelming majority in Bangladesh greatly admires India’s political stability and zeal for progress, refuting challenges handed down by its one-time colonial masters.

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 Bangladesh at large detests militant fanaticism though it has seen severe undercurrents of it over time. Narendra Modi has quickly assimilated the sense of what the iconic Bengali poet Sudhindranath Dutta wrote, that “hell does not fail to let loose if one remains blind”.  The Prime Minister realised that if South Block did not move, the reasonably friendly neighbour may quickly turn into another distraught regional detractor. Mr. Modi stepped up his pace, and the primary task for him was to get Chief Minister Mamata Banerjee on board.  Mr. Modi’s team made Ms. Banerjee understand the geostrategic significance of Bangladesh and how she may indeed expedite her own fall by working against its interest.  Thereafter Ms. Banerjee made two quick visits to Dhaka, after having refused to accompany the then Prime Minister on his visit in 2011. Secondly, Mr. Modi ensured the safe passage of the land boundary settlement bill and managed to assemble a clear consensus across party lines — a rarer than rare commodity in India — on Bangladesh.  That unanimity helped Mr. Modi put in place a road map to reduce the trade gap, facilitate transit and trans- shipment, and finally to promise a solution on river-water sharing. The consensus-building across India did not go unnoticed in Bangladesh, where Mr. Modi is now being referred to as “a genuine friend”.  Thus, it is not coincidental that most of the mainstream media have had only favourable reportage and comments on the deals.  The two key opponents of the Awami League – the Jamaat-e-Islami, Bangladesh and the Bangladesh Nationalist Party — have also welcomed the visit and the deals respectively. To an extent, at least a certain part of the credit for the impressive set of deals struck goes to the previous UPA government and to at least one decisive action it took.  The UPA managers convinced the international community that rattling India over Bangladesh is not a wise thing to do. Now, in the next phase, India needs to implement the agreements, before another season of election sets in. No second coming  The Chhattisgarh government must move immediately to prevent the revival of the Salwa Judum under a new name and banner.  Banning it in 2011, the Supreme Court had asked the state government to “take all appropriate measures to prevent the operation of any group, including but not limited to Salwa Judum and Koya Commandos, that in any manner or form seek to take law into private hands, act unconstitutionally or otherwise violate the human rights of any person”.  The SC had also ordered the government to probe and punish Salwa Judum personnel accused of criminal activities. However, this does not seem to have held back Chhavindra Karma, son of Mahendra Karma, the late Congress leader who founded the Salwa Judum, from going ahead with his plan to revive the controversial movement.  The Salwa Judum was launched as a “people’s movement” to counter the Maoists a decade ago. It mimicked the Maoist strategy, using fear and violence to control people and occupy territory.  The private militias that Mahendra Karma raised with political support even drafted children and teenagers. As violence flared, thousands of people were forced to shift out of their villages to makeshift camps.  The subsequent militarisation of the region destroyed communities. Over a thousand people, including more than 600 civilians, died in the first 30 months of the Salwa Judum.  Two years after the SC banned the movement, Mahendra Karma was killed by the Maoists. The Salwa Judum has ebbed and Maoist attacks have become sporadic since, but the people who sought refuge in the camps have not been able to return to their villages and rebuild their communities.  Maoism in Chhattisgarh is a political problem as well as a security issue.  The Salwa Judum did not offer any solutions on either front. Intelligent policing and well-planned operations by properly equipped and trained security personnel are necessary to check Maoist violence.  But the Maoists in Chhattisgarh also draw their social legitimacy from the degeneration of the political mainstream.  If those like Chhavindra Karma are serious about challenging the Maoists, they must focus on the tribal political economy, especially issues of land alienation and exploitation of natural resources.  Better governance that upholds the people’s right to life and livelihood can emphatically refute Maoist claims.  A revival of private militias will only exacerbate the violence and feed into the militaristic vision promoted by the Maoists. India, Australia and the Rohingyas  In May, the Thai police found dozens of bodies in an abandoned jungle camp in southern Thailand, which was used regularly to smuggle Rohingya Muslims fleeing persecution in Myanmar.  Later that month, around 139 suspected migrant graves were found, according to the Malaysian police, in a smuggler’s camp in Malaysia.  Despite the escalating Rohingya crisis, India, which is making concerted efforts to build a strong relationship with Myanmar, and Australia, where the migrants are fleeing by boat, are not doing enough; only tentative temporary solutions are being proposed.  Since coming to office in 2013, the Tony Abbott government has been turning back boats carrying migrants from Indonesia, and has also refused settlement to earlier migrants who had arrived by boat.  The recent crisis has exposed Australia’s deeply flawed immigration policy. Instead of addressing the root causes of people fleeing persecution, it only worsens the regional climate for asylum seekers.

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 Australia’s policy has given neighbouring states the licence to take tough measures of their own. In a summit in Bangkok, the Myanmar delegation cited Australian Foreign Minister Julie Bishopin’s argument that the “boat people” are not fleeing persecution in Myanmar but are, in fact, “economic migrants”.  Unsurprisingly, Mr. Abbott has said he will not rebuke any government for turning back boats carrying asylum seekers. The result of this is that thousands of starving men, women and children have been stranded for months at sea on fragile vessels.  The crisis shows that people facing persecution will flee borders, regardless of exogenous factors. This is most certainly true for the Rohingyas, an estimated 1 million of whom are stateless.  According to the United Nations, 120,000 of them have been forced to flee Myanmar in the last three years.  The Rohingyas, who have lived in poverty in Western Myanmar for decades, have no freedom of movement, access to healthcare facilities or education, and their right to vote was revoked earlier this year.  Even to marry, they require permission from the authorities. In recent years, they have been subject to violence from nationalist groups.  While ‘pull factors’ may change their destination, risking life at sea for a better life will always remain attractive. An effective policy would recognise this fact, and attempt to fix the problem at its source.  Instead, the Australian government is cutting resources aimed at stabilising the situation in Myanmar. In May, $28 million was cut from the aid to Myanmar programme.  Two weeks later, in response to the crisis, the government committed $11 million in aid for international agencies around Rakhine State. This suggests an unwillingness to commit to a long-term regional solution.  We must, therefore, conclude that this is a policy for a domestic audience, not a solution for reducing human trafficking regionally or saving lives globally on humanitarian grounds.  India has been trying to build a strong relationship with Myanmar in recent years, both on the economic and strategic fronts, by seeking to enhance connectivity through the Northeastern States.  In addition, India has also been assisting Myanmar with capacity building in areas such as English language training and Information Technology.  Further, under the Indian Technical and Economic Cooperation Programme, 500 slots have been reserved for Myanmar nationals with the goal of strengthening human resource capacity.  All these steps send out a clear message: that India would like to play a constructive role in Mynamar’s transition to a robust democracy. What India can do  But New Delhi does not want to be seen as interfering in the Rohingya crisis, especially as the ties between both nations were strained for a long time, after New Delhi suspended relations when the military junta took over in Myanmar.  During this period, China made tremendous inroads. It was only in the 1990s that India re-established links with Myanmar. Yet, it is surprising to see that not a single statement has been made by the Indian leadership in the context of the Rohingya crisis.  This, despite the current government playing a constructive role in other crises such as the Yemen civil war, where it helped evacuate citizens from a number of countries including Pakistan, and the Nepal earthquake, where it sent relief supplies and assisted in rescue operations.  In fact, Prime Minister Narendra Modi has, on more than one occasion, referred to the Indian ethos of tolerance and commitment to closer links with the outside world. He said at the United Nations General Assembly, for instance, that ‘Vasudhaiva Katumbakam’ — the whole world is one family — is India’s philosophy.  Beyond platitudes, what role can India play in this crisis? First, it can contribute to the rescue efforts of the International Organization for Migration, which has already collected $I million for rescue efforts.  Second, it can express displeasure against the atrocities on the Rohingya community, especially since it believes in democracy, liberalism and pluralism.  An unstable Myanmar is likely to have strong security implications for India. The country cannot afford to have an ostrich-like approach towards this growing crisis and nor can Australia. Both will feel the long-term repercussions.

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WEEKLY NEWS AND ANALYSIS FROM 11TH TO 16TH JUNE, 2015

INTERNATIONAL NEWS Africa leaders sign 'Cape to Cairo' free trade bloc deal  African leaders signed a 26-nation free trade pact to create a common market that would span half the continent from Cairo to Cape Town.  The Tripartite Free Trade Area (TFTA) deal, which must still be fine-tuned and ratified, caps five years of talks to set up a framework for preferential tariffs to ease the movement of goods in an area home to 625 million people.  Analysts say it could have an enormous impact on African economies, which account for only about two percent of global trade despite strong growth.  Egyptian President Abdel Fattah al-Sisi, President Robert Mugabe of Zimbabwe and President Omar al-Bashir of Sudan were among those who signed the pact at a summit in the Red Sea resort of Sharm el-Sheikh.  But hurdles remain, with the timeline for bringing down trade barriers yet to be worked out and the deal needing ratification in national parliaments within two years.  "What we are doing today represents a very important step in the history of the regional integration of Africa," Sisi said as he opened the summit.  World Bank President Jim Yong Kim said that with the launch of the TFTA "Africa has made it clear that it is open for business." Bolster intra-regional trade -  The deal will integrate three existing trade blocs -- the East African Community, the Southern African Development Community and the Common Market for Eastern and Southern Africa (COMESA) -- whose countries have a combined gross domestic product of more than $1 trillion (885 billion euros).  "The geographical area covers the Cape (of Good Hope) to Cairo... The agreement paves the way for a continental free trade area that will combine the three biggest regional communities," Ethiopian Prime Minister Hailemariam Desalegn said and Mugabe said the deal would create a "borderless economy" that would rank 13th in the world in terms of GDP.  Members of the three blocs range from relatively developed economies such as South Africa and Egypt to countries like Angola, Ethiopia and Mozambique, which are seen as having huge growth potential.  "The establishment of TFTA will bolster intra-regional trade by creating a wider market" that would "increase investment flow... and enhance regional infrastructure development," a final statement said.  Negotiators drafted the deal in Sharm el-Sheikh, and said it addresses such concerns as management of trade disputes and protection for small manufacturers once the TFTA comes into force.  The TFTA has been widely welcomed by world business leaders, with experts pointing out that only 12 percent of Africa's trade is between countries on the continent. 'One trade regime'-  In 2013, the UN Conference on Trade and Development said Africa must focus on creating more space for the private sector to play an active role if it is to boost intra-continental trade.  Analysts say although the continent's growth in the past 15 years outstripped global GDP expansion by nearly three percentage points, falling commodity prices, power shortages, political instability and corruption are still holding back its economies. U.S. regulator to test noodles  Being banned in India on health concerns, Maggi noodles manufactured by Swiss giant Nestle in India has come under the scanner of the U.S. Food and Drug Administration (USFDA), which has taken samples of the instant food brand for testing.  Besides selling in India, zNestle India exports Maggi noodles to the U.S., Canada, U.K., Australia, Singapore and Kenya, as per the global website of the Swiss multinational giant. Yunnan, W. Bengal the key drivers for BCIM  The Chinese Province of Yunnan and the Indian State of West Bengal, both seeking fresh business opportunities, are imparting a new dynamic to the formation of the Bangladesh-China-India-Myanmar (BCIM) economic corridor, which now appears to be finding greater support in New Delhi.  “Yunnan and West Bengal are the engines of the (BCIM) corridor,” said Ashok Kantha, India’s Ambassador to China, during a speech at the India-China Economic and Tourism Cooperation Forum. Change from below  He pointed to the Provincial Leaders’ Forum, formed earlier during Prime Minister Narendra Modi’s visit to China, which linked Indian States and Chinese Provinces as a key mechanism for bringing about change from below.  The Yunnan-West Bengal tie-up follows a similar initiative by Guizhou International, a Chinese company based in the Province of Guizhou that is investing in a $3.5-billion project in the Kakinada Special Economic Zone in Andhra Pradesh.

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 Minister of State for External Affairs V.K. Singh also seemed upbeat about the prospects of the BCIM. He pointed out during his keynote speech that the BCIM initiative was “in sync” with India’s thrust on accelerated development of infrastructure, which included construction of railways, industrial corridors and smart cities. Flagship projects  He stressed that successful emergence of “flagship projects” was now necessary to change public perceptions about the China-India economic partnership.  Duan Yueqing, Director General of the Yunnan Tourism Development Commission advocated the establishment of a BCIM tourism zone built around new roads, railway projects, and new air routes that would link the four countries with adequate transport infrastructure.  Besides, the Chinese side is also advocating the emergence of a BCIM Industrial Cooperation Zone, which will serve as the nodal-hub for steering development along the entire corridor. U.S. opens probe against TCS, Infosys for H1B visa violations  The U.S. government has opened an investigation against two of the biggest Indian outsourcing companies for possible violations of H1B visa rules, according to a media report.  The Department of Labour has opened the investigation against Tata Consultancy Services and Infosys for “possible violations of rules for visas for foreign technology workers under contracts they held with an electric utility Southern California Edison,” .  The power company had recently laid off more than 500 technology workers amid claims that many of those laid off were made to train their replacements who were immigrants on the temporary work visas brought in by the Indian firms Senators Richard Durbin of Illinois and Jeff Sessions of Alabama announced the investigation after they were notified by the department, the report said.  The move by the Labour Department comes days after the NYT had reported that hundreds of employees at entertainment giant Walt Disney were laid off and replaced with Indians holding H1B visas. About 250 Disney employees were told 11  It had also cited the layoffs at the Southern California Edison power utility, saying that the layoffs are “raising new questions about how businesses and outsourcing companies are using the temporary visas, known as H1B, to place immigrants in technology jobs in the United States.” Now, China seeks maritime deal with Dhaka  China has approached Bangladesh to sign a deal on blue economy and maritime cooperation in the Bay of Bengal, days after Dhaka and New Delhi signed such an accord.  During Prime Minister Narendra Modi’s visit to Dhaka, Mr. Modi and his Bangladesh counterpart, Sheikh Hasina, witnessed the signing of a memorandum of understanding between the University of Dhaka and India’s Council of Scientific and Industrial Research (CSIR) for joint research on oceanography of the Bay of Bengal and an agreement for the setting up of a joint working group.  The deals are seen as a major step in maritime cooperation between the two neighbours.  A diplomatic source told that Bangladesh had earlier approached China for the signing of a deal on maritime cooperation to facilitate capacity building, training, joint research and study. “But it had not received any response,” the source said.  The Bangladesh foreign office, received a draft of an MoU from Beijing on maritime cooperation.  Of the two deals Bangladesh and India signed in Dhaka, one was on “blue economy and maritime cooperation in the Bay of Bengal and the Indian Ocean”, which envisages cooperation for capacity building, training and joint research collaborations, and setting up of a joint working group for further cooperation in this area. China freight train opens new trade route to Europe  China launched a freight train service between its northeastern city of Harbin and Europe, opening a new trade route.  The train left Harbin, capital of the Heilongjiang province, carrying 49 containers of domestic goods such as electronic products and auto parts estimated at $3 million (about Rs. 20 crore) from northeast and north China, the State-run Xinhua news agency reported.  Long journey  During the 9,820-km journey, the train will pass Russia and Poland before reaching its destination of Hamburg in Germany.  It will transport goods from China, South Korea, Japan and European countries such as Germany, Poland, France, Spain and Italy.  Several Chinese cities such as Chongqing, Chengdu, Changsha, Hefei, Yiwu and Suzhou have launched similar freight train services to Europe. South Africa court blocks Sudan's Bashir from leaving  A South African court has granted an interim order to prevent Sudanese President Omar al-Bashir from leaving South Africa, where he is attending an African Union summit, until it hears an application calling for his arrest.

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 The International Criminal Court (ICC) issued an arrest warrant in 2009, accusing Bashir of war crimes and crimes against humanity related to the conflict in Darfur.  The judge said the court will decide whether a South African government cabinet decision to host Bashir would trump the ICC arrest warrant.  Bashir boarded a flight to Johannesburg to head Sudan's delegation at the summit.  South Africa is a member of the ICC, which does not have its own police force and relies on member states to detain suspects.  Since the arrest warrant was issued, most of Bashir's trips abroad have been to non-ICC states such as Saudi Arabia and Egypt.  But he has also been to member states that have declined to arrest him, such as Nigeria, which hosted him in July 2013.  "The chances that South Africa will act on the ICC's request are very low. However, it is in an awkward position as it is a signatory to the Rome Statute, which established the ICC," she said.  "In recent months, a sentiment within the African Union has been growing against the ICC, especially after Kenyan Vice President William Ruto's and Kenyan President Uhuru Kenyatta's appearances at the court." G20 countries account for 85% of global GDP, 75% of world trade What is the G20?  The G20 or the Group of Twenty is a forum where policymakers of industrialized and developing economies meet to discuss key issues in the global economy. The G20 countries account for 85% of global GDP, 75% of world trade and about two-thirds of the world's population. Why was it formed?  The Asian financial crisis of the late 1990s raised fears of a global economic meltdown and it was realised that there was an absence of a platform where the G7 industrialized countries could meet emerging economies.  The key emerging economies represented in G20 are also the largest markets for the industrialized countries.  Started in 1999 as a meeting forum for finance ministers and central bank governors of the member economies, the G20 summit since 2008 is a platform where political leaders of the member countries also meet to discuss the global economic situation. G20 leaders have met nine times since 2008. Who constitutes the G20?  Although the group has 19 of the world's largest economies as its members, it insists there are no formal criteria for membership. Apart from the G7 industrialized nations, the G20 also includes emerging economies like India, China, Russia, Brazil, South Africa, Mexico, South Korea, Argentina, Indonesia, Saudi Arabia, Turkey and Australia.  The 20th member is the European Union, which is represented by whichever country holds the EU presidency. The IMF and the World Bank also attend G20 meetings. How is the G20 different from other multilateral bodies?  Unlike the European Union, United Nations and so on, the G20 is an informal political forum. Its presidency rotates annually to represent a regional balance over time. It doesn't have any permanent secretariat and the G20 president is responsible for bringing together the agenda and organising summits and several meetings.  To ensure continuity, the presidency is formed as a troika — constituting the immediate past, present and next host countries. In 2015, the members of the G20 troika are Australia (2014 president), Turkey (2015 President) and China (2016 President).  To make the forum more representatives, non-member countries are invited as guests. The invitees for 2015 are Spain, Malaysia, Zimbabwe, Senegal, Azerbaijan and Singapore. What is the G20 Sherpas meeting?  The Sherpa is the personal representative of the head of state/government of a member state. The name is derived from the Nepalese Sherpa people who serve as mountaineering guides and porters in the Himalayas.  Before a G20 leaders' summit, like the one that is scheduled to happen in November this year, many rounds of Sherpa meetings take place. Sherpas, who are most often politicians, discuss the year's main agenda to reduce negotiation time in the summit.  Suresh Prabhu is the Sherpa representing India. The meeting scheduled for June 16-17 is the third round of Sherpa meetings in the Turkish presidency. It will be followed by the fourth round of finance and central bank deputies meeting scheduled to take place on June 15-16. What is the agenda for this year?  According to the G20's statement on Turkish presidency's priority for 2015, the main agenda for this year's discussions are strengthening of global recovery, enhancing resilience and buttressing sustainability.  This year's discussions and meetings are focused on increasing the recovery rate of the global economy, making the international financial architecture more efficient and addressing the global energy and climate change situation.  The main agenda for this year's G20 discussions are strengthening of global recovery, enhancing resilience and buttressing sustainability  The main agenda for this year's G20 discussions are strengthening of global recovery, enhancing resilience and buttressing sustainability. India, Pakistan expanding nuclear arsenal despite global trend in disarmament: Report  India and Pakistan are reportedly expanding their nuclear arsenal, despite a global trend towards disarmament, the Stockholm International Peace Research Institute (SIPRI) has said. Weekly News and Analysis Byju’s Classes-9873643487 3 2015CA_011,012,013,014,015,016

 The SIPRI published the findings in its ‘Yearbook 2015’, which assesses the current state of armaments, disarmament and international security in the world.  The disarmament report prepared by the Swedish institute said that though the number of warheads fell from 22,600 to 15,850 between 2010 and 2015, India (90 to 100 warheads) and Pakistan (100 to 120 warheads) undertook “extensive and expensive long-term modernisation programmes”.  According to the report, at the start of 2015, nine states – the United States, Russia, the United Kingdom, France, China, India, Pakistan, Israel and North Korea — possessed approximately 15,850 nuclear weapons, of which 4,300 were deployed with operational forces.  The total number of nuclear warheads in the world is declining, primarily due to the US and Russia continuing to reduce their nuclear arsenal, albeit at slower pace compared with a decade ago, the report says.  However, “despite renewed international interest in prioritising nuclear disarmament, the modernisation programmes under way in the nuclear weapon-possessing states suggests that none of them will give up their nuclear arsenals in the foreseeable future,” SIPRI Senior Researcher Shannon Kile said.

NATIONAL NEWS Ordinance to help litigants in cheque bounce cases  An ordinance to help lakhs of persons battling cheque bounce cases far away from their place is cleared by the Union Cabinet, which will be the 14th ordinance of the Modi government in a little over a year.  The ordinance, which will amend the Negotiable Instruments Act, will enable filing of cheque bounce cases in the place where the cheque was presented for clearance or payment and not the place of issue.  The ordinance was necessitated as a Bill to help the litigants in the cheque bounce case was passed by Lok Sabha in earlier this year, but it could not go through the other House.  Briefing reporters after the meeting chaired by Prime Minister Narendera Modi, Transport Minister Nitin Gadkari said the Supreme Court had passed a judgment that if a cheque was received from someone and it bounces, then the jurisdiction for initiating action lies in the State where it was issued.  Mr. Gadkari said if there were three cases of bounced cheques against one person, these cases could be brought to one place and clubbed. Sweden offers Gripen jet to India  Sweden is interested in selling its next generation Gripen fighter aircraft to India under a government-to-government deal, Defence Minister Peter Hultqrist, who is on a day’s visit to India, told.  Gripen, manufactured by Swedish aerospace company Saab, was one of the contenders for the 126 Medium Multi- Role Combat Aircraft (MMRCA) fighters to be supplied to the Indian Air Force.  However, it came second to the French fighter Rafale in technical and financial evaluation. India had announced a government-to-government 36 fighter deal for Rafale with France during PM Narendra Modi’s visit to Paris in April this year.  Although the Swedish defence minister refused to explicitly state it, it is believed that the aircraft being offered to India is the Gripen-E fighter.  The offer is likely to be made without any reference to the MMRCA evaluation, Rafale deal or Tejas-1 and 2 being developed indigenously.  “We are working towards a broad agreement on defence cooperation with India. Gripen is one of the pieces in it. We will offer a highly effective and highly qualified aircraft at an acceptable cost, and in a good time frame.  Sources told that the Swedish delegation is also interested in selling Gotland-class submarines to India under the ‘Make in India’ programme. Earlier in the day, Hultqrist had met Minister of State for External Affairs, General VK Singh (retd).  Hultqrist also highlighted the threat posed by terrorism to all liberal democracies in the world. “India is impacted by terrorism and Sweden is also concerned by the rise of ISIS.  We have decided to be part of the 60-country coalition against ISIS and have provided 35 soldiers as trainers,” he added. Capital’s reluctant search for Heritage tag  UNESCO defines World Heritage as the “designation for places… of outstanding universal value to humanity…, to be protected for future generations”. A UNESCO World Heritage City must be of “outstanding universal value”.  Earlier the Centre decided to “postpone” Delhi’s bid for UNESCO World Heritage City status due to concerns over possible curbs on infrastructure building. THE DELHI BID  The Culture Ministry filed the nomination in 2012, but the final dossier, prepared by the Indian National Trust for Art and Cultural Heritage (INTACH), with which the Sheila Dikshit government had signed an MoU in 2008, was sent to UNESCO in January 2014.  The walled city of Shahjahanabad (where the Red Fort is already a UNESCO World Heritage Site on its own), and the Lutyens’s Bungalow Zone, were included.  But just a month before UNESCO was to review nominations from across the world, the government withdrew its bid.  “Once the city comes into that heritage list, you are unable to make some construction in the city plans and land use plans, so it will become difficult,” Culture Minister Mahesh Sharma was quoted as saying.

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 UNESCO, which will examine 38 other entries in Germany between June 28 and July 8, said India’s nomination had been “postponed for consideration later”.  According to experts, Delhi could still be in the race next year, and former Delhi minister Jitender Tomar had said he has written to the Centre to reconsider. Intach too is pursuing the matter.  India is home to 32 of UNESCO’s 1,000-odd World Heritage Sites, three of which are in Delhi: Red Fort, Qutub Minar and Humayun’s Tomb. None of the world’s 220 World Heritage Cities is in India. THE HERITAGE TAG  The tag of a UNESCO World Heritage City is a powerful addition to a city’s tourist branding. Rome, Paris, Cairo and Edinburgh are good examples. A tourism boost is generally associated with growth of employment in allied industries. According to the UNESCO website, “a country may also receive financial assistance and expert advice from the World Heritage Committee to support activities for the preservation of its sites”.  On the question of restrictions on development, the fact is that Lutyens’s Delhi, at least, already has many curbs. That pushing the bid say the dossier clearly spells out that no additional laws would be required. The total area covered by the bid was only 26.40 sq km, barely 1.8 per cent of the NCT of Delhi’s total 1,483 sq km.  Conspiracy theorists see in the Centre’s decision an attempt to keep from preservation some “Muslim” aspects of old Delhi, and to alter the colonial character of Lutyens’s city, possibly in the interest of the real estate lobby. The Delhi government, which is in the middle of a raging battle with the Centre, has expressed surprise at the decision. WHAT NOW?  India has several potential contenders for the UNESCO tag. Delhi’s dossier was selected over Mumbai’s this year only because only one nomination is allowed per country. Ahmedabad and Varanasi are contenders, while Chandigarh has been on the tentative list since 2006. Notably, Chandigarh is already part of a transnational nomination of the works of Le Corbusier for UNESCO Heritage status, along with works in France, Switzerland, Belgium, Japan, Germany and Argentina. The nomination was entered in February this year, and will be reviewed in June 2016. INS Vikrant undocked at Cochin shipyard  India crossed a major milestone in defence shipbuilding when the maiden indigenous aircraft carrier INS Vikrant was undocked on completion of structural work at the State-owned Cochin shipyard.  The Navy is slated to take delivery of the carrier by 2018. Hurdles cleared  The undocking was done after a series of postponements caused by a glitch with the dock gate operation and siltation at the dock mouth.  Delivery of systems and components for the aviation complex designed by the Russian Nevoske design bureau is expected anytime now,” said an official.  The undocking is part of the second phase of work on the carrier, which is expected to be over by 2017.  The carrier was designed indigenously by the Directorate of Naval Design (DND). ‘‘It's a rare feat.  In fact, the Navy has a protracted history of indigenisation of vessels and the DND has done commendable work by developing over 18 designs, including that of the carrier,’’ said a shipyard official. ‘NJAC will involve civil society’ Bench: does Act have a provision for selecting more women?  The Centre said the National Judicial Appointments Commission (NJAC) is founded on the “broad-based” philosophy that leaders of civil society, who may otherwise have nothing to do with the judicial field, should also have a say in judicial appointments.  The fourth day of hearings on the plea against the new NJAC law saw the five-judge Constitution Bench, led by Justice J.S. Khehar, question the government’s repeated claims that the new law is “broad-based and transparent.”  The Centre responded by questioning the Collegium system’s wisdom that only judges possess the temperament and know-how to recommend persons for judicial appointments, and justified the role of two “eminent persons,” who embody civil society, on the six-member NJAC panel. Blames ‘lack of sensitisation’  Attorney-General Mukul Rohatgi launched an attack on the “obvious male dominance” in the judiciary despite the fact that 50 per cent of the country's population is women.  Mr. Rohatgi blamed “lack of sensitisation” for the reduced presence of women in the judiciary.  “That’s why Parliament has passed a law, making a broad-based body, including CJI, two senior-most judges, Law Minister and two eminent persons, for the purpose,” the A-G said.  Here, the Bench retorted by asking Mr. Rohatgi whether the new Act has provided for the selection of more women.  “Why don't you say there would be certain number of women, SC/STs, OBCs and minorities in the selection? It is not there in the law,” Justice Khehar said.  The court also asked whether the government, by making the details of judicial appointments accountable under the Right to Information Act, is unnecessarily giving reasons to defame rejected applicants.

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 “What about the image of a lawyer whose application is rejected? Will it not tarnish his image if it is open for the public to seek information why his case was not considered? Now every citizen has got an interest in judiciary, according to you,” the Bench said.  To this, Mr. Rohatgi said the finer aspects of disclosure of information would be worked out eventually, but this apprehension cannot compromise the NJAC's commitment to transparency as public body acting for the “greater good.” ‘Agriculture a key area in Delhi-Colombo ties’  Sri Lanka has identified agriculture, logistics and textiles as potential areas of “economic engagement” with India, according to Ravi Karunanayake, Finance Minister.  Shipping and open-aviation policy were among the other areas of cooperation.  On the currency swap agreement with India, the Finance Minister said his country had so far used $ 400 million. It could go up to $ 1.5 billion.  [Announced by Mr Modi during his visit, the agreement is between the Reserve Bank of India and the Central Bank of Sri Lanka. It is meant to keep the Sri Lankan rupee stable]. Taxation  On taxation, he said his government was for lowering of taxes, better compliance and more equitable distribution of resources. Property transfer, nationality likely to prove contentious  India and Bangladesh will complete, between July 31, 2015 and June 30, 2016, the entire process of the Land Boundary Agreement and the 2011 Protocol, including physical exchange of enclaves and land parcels in adverse possession along with boundary demarcation.  The two countries have also outlined the modalities of an immensely complex process of settlement of immovable property.  The dwellers, who are hoping to move from an enclave to another country as proper citizens for the first time since Independence, will have to provide “details of the records and specifications of immovable property” to the local administration.  The details will be posted in the public domain by the district administrations and the governments will “facilitate remittance of sales proceeds” of the property.  The Bangladesh-India Joint Boundary working group will address any dispute that “may arise after the transfer for next five years till June 2020.”  One of the terms of the joint team visiting the enclaves would be to identify the “residents who wish to continue to retain the nationality they hold prior to the actual transfer of territory.”  The right to “retain the nationality” will only be available to those “who are included in the joint headcount of the population of the enclave,” the letters said. The headcount was finalised by the governments in July 2011 and to the children born to “the residents from 2011 till date.” Debroy panel wants Railways to embrace liberalisation  An official committee has recommended a whole set of reforms, including entry of private players into the Railways, and separation of offline activities from the core business.  Holding that the railway finances were in a precarious situation, the committee headed by NITI Aayog member Bibek Debroy, said there was need not only to improve the internal resource generation and explore varied methods of financing but also increase utilisation of available resources. Modi’s brainchild  The committee, a brainchild of Prime Minister Narendra Modi, in its over 300-page report, said it did not recommend privatisation of the Railways.  However, railway unions have attacked the report, saying it is a clear road map for privatisation, which would endanger safety and increase financial burden.  “It does, however, endorse private entry, which is not ab initio but ab hinc — as this is already part of the Indian Railway policy — with the proviso of an independent regulator.  “This committee prefers use of the word liberalisation and not privatisation or deregulation, as both the latter are apt to misinterpretation,” it said.  In a major recommendation, it proposed separation of activities like running of hospitals, schools, catering, real estate development, manufacturing of locomotives, coaches and wagons from the core business of running trains.  State governments should be asked to entirely fund the Government Railway Police (GRP) and the general managers should have the freedom to choose between private security guards and RPF for security on trains.  The panel recommended establishment of an independent regulator — Railway Regulatory Authority of India. Make train services viable: panel ‘Regulator should be kept out of Rail Bhavan’  Improving accountability, decentralising power and setting up an independent regulator are the key elements for the restructuring of Indian Railways, NITI Aayog member Bibek Debroy says.

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 The panel on restructuring of the Indian Railways, headed by Mr. Debroy, submitted its final report. The committee has set a five-year timeframe for implementing its recommendations and has suggested doing away with the Railway Budget, Dr. Debroy told.  “Without commercial accounting, I do not even know what the rate of return on the projects is. This is not just about attracting private capital flows, but even with government and Railways, you need to know what your return is.  So if I am borrowing the funds at, say, 7 per cent, I need to know what the return on projects is … at the end of it all, I need to do the cost-benefit analysis of how much it costs to run a train and is that train viable. You cannot do that without commercial accounting,” he said.  He said even if the projects were taken up for fulfilling social objectives, they needed to be accounted for and clearly quantified and funded out of the Budget.  “Because, if we have the Railway Budget, the expectation of every MP is that give me a train for my constituency. And you are setting up a regulator, which is going to recommend or set the tariffs. So there is no purpose to the Budget,” he said.  On the independent regulator, Mr. Debroy said the recommendation was to set it up statutorily and not executively. “Why statutorily? Because we want the regulator to be independent and we want the regulator to be accountable to Parliament.  We want the regulator to be outside the clutches of Rail Bhavan with a separate budget. The Ministry would set only policies.” ‘Mandatory warning won’t make alcohol unsafe’  Alcoholic beverages, pan masala and supari need not be treated as “unsafe food” for recall just because they carry the mandatory warning that their consumption is injurious to health, apex food regulator FSSAI has proposed.  The proposal is part of the draft Safety and Standards (Food Recall Procedure) Regulations, 2015, which has been put up for public comments.  The Food Safety and Standards Authority of India came out with the draft norms amid safety concerns over Maggi recall.  The draft said the mandatory warning ‘consumption of alcohol/pan masala/supari is injurious to health’ may not make them liable for recall, “unless the beverage or food is determined unsafe as per the classification of recall making it injurious to health or even causing death.” Land bill panel: Only 2 states acquired land under 2013 Act  While the NDA government claims that it amended the 2013 Land Acquisition Act due to complaints from the states about the difficulty in acquiring land under it, it turns out that only two states actually acquired land under the law.  Odisha and Punjab are the only states that acquired land under the 2013 legislation, according to data furnished by 20 states to the Joint Committee of Parliament examining amendments to the law.  A key contention of the NDA government for bringing the amendments, through an ordinance, to the 2013 law was its claim that states had complained of difficulties in implementing the act.  Out of the 20 states that have shared the information, 18 states have not acquired any land since the 2013 Act came into force.  States like Haryana, Maharashtra and Jharkhand have not given any input in this respect to the committee so far. India signs motor vehicle pact with three nations  India signed a motor vehicles agreement with three SAARC nations — Bhutan, Bangladesh and Nepal — that envisages seamless transit of passenger and cargo vehicles among these countries.  Though a seamless cargo movement between the South Asian neighbours is expected to take much longer, but this agreement at Bhutan’s capital Thimphu is expected to remove bottlenecks by allowing people easy access.  The agreement signed on India’s behalf by Road Transport and Highways Minister Nitin Gadkari will not only reduce transport costs, but also enhance multi-modal transport and transit facilities, enabling increased connectivity and promotion of greater trade among the four countries.  “The Motor Vehicles Agreement is the ‘overarching’ framework to fulfil our commitment to enhance regional connectivity. This will need to be followed through with formulation of the required protocols and procedures in the shortest time possible to realise the ultimate objective of free movement of people and goods in the region,” Mr. Gadkari said.  Bhutanese Prime Minister Tshering Tobgay will flag off a vehicle that will run through Bhutan-Guwahati-Shillong- Sylhet-Benapole-Kolkata route to survey the road.

ECONOMY NEWS Cabinet nod to motor pact among 4 SAARC nations  "The Cabinet has approved signing of the Bangladesh, Bhutan, India and Nepal (BBIN) Motor Vehicle Agreement for the Regulation of Passenger, Personal and Cargo Vehicular Traffic amongst BBIN.  Signing of the BBIN pact will promote safe, economical efficient and environmentally sound road transport in the sub- region and will help each country in creating an institutional mechanism for regional integration, it said.

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 "BBIN countries will be benefited by mutual cross border movement of passenger and goods for overall economic development of the region. The people of the four countries will benefit through seamless movement of goods and passenger across borders," it said.  Each Party will bear its own costs arising from implementation of this agreement, the statement added.  A meeting of Secretaries of Transport of the BBIN countries was organised by the Ministry of Road Transport and Highway (MoRTH) in February 2015 to discuss and finalise the draft of the BBIN pact, which is similar to the SAARC Motor Vehicle Agreement (MVA) draft with minor changes.  Earlier, the Cabinet had approved a proposal to sign the SAARC MVA during the SAARC Summit in Kathmandu in November 2014.  "Unfortunately, it could not be signed due to reservations of Pakistan. The SAARC declaration at the Kathmandu Summit in November 2014 also encouraged member states to initiate regional and sub-regional measures to enhance connectivity," it said.  Accordingly, it was considered appropriate that a sub-regional BBIN pact may be pursued, it added. US becomes biggest oil producer in 2014, surpasses Saudi Arabia  The United States has overtaken Saudi Arabia as the world's biggest oil producer in 2014 while India has recorded the highest growth in energy consumption among major economies.  The US produced 15.9 per cent more oil in 2014 at 11.6 million barrels of oil per day to topple Saudi Arabia's 11.5 million bpd production, according to BP Plc's Statistical Review of World Energy released.  Russia with 10.8 million bpd oil production was placed third.  The US surpassed Russia as the world's largest producer of oil and gas, producing 1,250.4 million tons of oil and oil equivalent natural gas in 2014.  BP said the US shale revolution helped it overtake "Saudi Arabia as the world's biggest oil producer and surpass Russia as the world's largest producer of oil and gas."  Chinese growth in consumption slowed to its lowest level since 1998 as its economy rebalances away from energy intensive sectors, though China remained the world's largest growth market for energy.  India, however, posted a 7.1 per cent rise in energy consumption, the fastest among major economies and second only to Algeria's 8.4 per cent expansion.  While India's oil production declined 1.3 per cent at 895,000 bpd, consumption rose 3 per cent to 3.8 million bpd.  Though India is heavily dependent on imports to meet its oil needs, it is self-sufficient in refining capacity, housing a total capacity of 4.3 million bpd, fourth largest in the world behind the US (17.79 million bpd), China (14.09 million bpd) and Russia (6.3 million bpd).  Natural gas production dipped 5.9 per cent to 31.7 billion cubic meters. RBI permits NRIs to subscribe to chit funds  The Reserve Bank of India (RBI) has decided to permit non-resident Indians (NRIs) to subscribe to the chit funds without limit on a non-repatriation basis.  The subscription to chit funds, however, should come through the normal banking channel, including through an account maintained with a bank in India, the apex bank said.  The RBI has also added a rider saying that the Registrar of Chits or an officer authorised by the State Government in accordance with the provisions of the Chit Fund Act in consultation with the State Government concerned should permit any chit fund to accept subscription from NRIs on non-repatriation basis.  Hitherto, NRIs are not allowed to make investment in India in any form, in a company or partnership firm or proprietary concern or any entity, whether incorporated or not, which is engaged or proposes to engage “in the business of chit fund”. ECB scheme extended  The RBI has also extended the scheme allowing airline companies raise external commercial borrowings (ECB) for working capital as a permissible end-use under the approval route. The scheme will now continue till March 31, 2016.  Similarly, the apex bank has said that the scheme of raising ECB for low-cost affordable housing projects will continue for the financial year 2015-16. South Korea cuts key interest rate as MERS outbreak causes panic  South Korea’s central bank lowered its key interest rate to a historic low, responding to a slump in exports and the prospect that the outbreak of the deadly MERS virus could slow the economy.  In March, the bank lowered the key rate and downgraded its growth forecast for Asia’s fourth-largest economy as exports continued to slump.  Consumption was on recovery track but began showing signs of contraction after the outbreak of MERS, while the decline in exports widened, the central bank said in a statement.  Exports and imports continued to drop over a year earlier after the March rate cut due to sluggish global demand and a weak Japanese Yen. The cheaper Yen hurt Korean exporters, especially automakers that compete with Japanese rivals in the global market.

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Middle East Respiratory Syndrome has killed nine and infected more than a 100 since the first case was diagnosed in May. Thousands are quarantined after possible contact with the virus. India secures highest ratings for financial market norms  India’s financial markets regulatory framework got the highest ratings from the global bodies of banking and capital market regulators, with RBI and SEBI being rated better than their peers in China and the US. Gets the highest score  In the latest global ‘assessment study’ of the regulatory framework for financial market infrastructure across the world, only six countries, including India, have got the highest score of ‘4’ for all eight parameters on a scale of one to four.  The other five countries are Australia, Brazil, Hong Kong, Japan and Singapore.  The ‘Rating Level 4’ means that the financial market regulators — the Reserve Bank of India and the Securities and Exchange Board of India — have all regulatory measures “fully in force.” Study on implementation  The annual assessment studies the implementation status of the international Principles for Financial Market Infrastructure (PFMIs) in various countries.  These PFMIs work as global standards for the financial sector entities across the world and have been finalised by the International Organization of Securities Commissions (IOSCO) and the Bank for International Settlements (BIS).  IOSCO is a global grouping of capital markets regulators in different countries, including SEBI, while BIS is known as the central bank for all central banks across the world.  The study showed that SEBI and RBI have put in place all necessary regulations for the PFMIs, while they also “have a legal capacity to implement the responsibilities” outlined under these global standards.  According to the latest assessment of 28 jurisdictions, the US has scored the top most rating of 4 on five out of total eight parameters, while China has got three top most scores.  The European Union scored the top rating on six parameters, while ratings for two were ‘Not Available’. Scores on all counts  The assessment took into account regulations for central counter parties, trade repositories, payment systems, central securities depositories and securities settlement systems. India has scored top ratings on all these counts. India First Life Insurance launches Cash Back Plan  Catering to the need for secure, regular payouts to meet mid to long term goals, India First Life Insurance has launched its India First Cash Back Plan to help customers gain big joys with small savings. Customers can start investing with as low as Rs.522 a month and see their money grow steadily.  The key feature of the plan is that the customer can enjoy long term investment benefits even after paying for a limited period only, proving it to be a customer-friendly product.  The customer will reap the benefits in regular intervals and hence one can plan for their personal goals such as home, marriage, child’s education, personal expenses and retirement, healthcare expenses and others with the help of the India First Cash Back Plan, says a release. Cairn India set to merge into Vedanta in $2.3 billion deal  In move to cut debts, India’s largest private miner Vedanta Ltd., headed by billionaire Anil Agarwal, will absorb oil firm Cairn India in a $2.3-billion all-share deal to create India’s largest diversified natural resources company.  Shareholders in Cairn India, the country’s top private oil producer, will get one ordinary share and 7.5 per cent redeemable preference share of Vedanta Ltd.  Post-merger, London-listed parent Vedanta Resources Plc’s holding in Vedanta Ltd will drop to 50.1 per cent from 62.9 per cent. Sterlite merger  Vedanta, previously known as Sesa Sterlite Ltd, in 2013 consolidated its iron ore mining business by merging Sesa Goa Ltd with Sterlite Industries (India) Ltd, which ran copper and aluminium businesses.  The merger will help Cairn spread its risk from volatile oil business to other metals and commodities. Mahindra bags multi-million dollar aerospace deal with Airbus  The Mahindra Group clinched a multi-million dollar aerospace contract with European consortium Airbus at the Paris Air Show, marking a major milestone in the ‘Make in India’ initiative.  Mahindra Group subsidiary Mahindra Aerospace bagged the multi-year aero-components manufacture and supply contract.  “This is significant as a vote of confidence in Make in India, the ‘first tika’ in this broad vision, as well as a vote of confidence in Mahindra,” Anand Mahindra, chairman and managing director of Mahindra and Mahindra Ltd, told PTI on the sidelines of the Air Show which opened here.  The contract, the value of which has not been disclosed, will involve a variety of Mahindra produced metallic components, in excess of a million parts per annum, to be fitted into several Airbus aircraft programmes as part of assemblies produced by Premium Aerotec.

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 Mahindra said, “We as a group, with Tech Mahindra and Mahindra Aerospace, are the largest supplier to Airbus out of India but the potential remains to substantially hike the amount the company sources from India.  As Airbus raises its procurement from India, it will be a great validation of Make in India.”  “We are the only Indian company that builds planes, which are built in Australia, and we are the only business house that covers all three wings of defence — Army, Navy and Air Force,” said S P Shukla, Group President and CEO of Mahindra Aerospace and Defence Sector.”  Premium Aerotec is a 100 per cent subsidiary of the Airbus Group and one of the world’s leading suppliers for the development and manufacture of large aircraft structures for civil and military aircraft.

SCIENCE AND TECH Hybrid device combines solar, wind energy  In an enterprise which could bring hybrid renewable energy to Indian rooftops, Wind Stream Technologies, a U.S.- based renewable energy technologies manufacturer, has launched its trademark product – Solar Mill, at its newly inaugurated facility in Maheshwaram mandal of Ranga Reddy district.  The prototype of the portable device consists of three vertical axis wind turbines fixed beneath one or more photovoltaic panels, to produce 2.5KW of renewable energy. The turbines need a minimum wind speed of two metres per second for generation.  The devices are designed to work in both on-grid and off-grid environments, hence, are suitable for mini or micro grids in remote locations.  Besides claiming that this is the first fully integrated hybrid renewable energy device, the company also cites lowest cost per installed watt (35 sq ft for one kilowatt), flexibility between battery and inverter, and easy plug-in facility to attach two devices as its USPs.  The appliance is designed for 25 years durability, and comes with a five-year warranty. So far, 10 to 15 installations of SolarMill across India account for 10 to 20 KW power generation.  The company may also begin manufacture of one more product – Tower Mill in India, which could power the telecom towers, he said. Connection between brain and lymphatic system discovered  Textbooks of medicine say that there is no direct connection between the brain and the lymphatic system. Yet, a paper published recently in the journal Nature refers to the discovery of exactly such a connection.  The researchers are from the School of Medicine, University of Virginia. While it is quite a startling discovery in itself, it gains significance because it could lead to a breakthrough in the treatment of diseases such as Alzheimer’s disease, multiple sclerosis etc.  The lymphatic system consists of vessels that carry a transparent fluid, the lymph, which helps rid the body of toxins and other unwanted substances. It also forms an important part of the body’s immune system.  Until now, it was believed that this system is not connected to the brain. In a stunning discovery based on study of mouse brain, the researchers from University of Virginia have identified connections between the lymphatic system of the mouse and its brain.  The group has discovered a similar structure in human dura (tissue that covers the brain), but write in the paper that “further studies will be necessary to fully characterize the location and organization of meningeal lymphatic vessels in the human central nervous system.”  This discovery can be very significant in the treatment of neurological conditions. Jonathan Kipnis, director of University of Virginia’s Centre for Brain Immunology and Glia, notes in an email, “I want to see what the role of these vessels is, in different neurological disorders.  When asked what diseases he is referring to, Dr Kipnis adds, “We are particularly interested in Multiple Sclerosis, meningitis, CNS trauma, Alzheimer’s [disease] and brain tumours, to list a few…”  Tuberculosis that resists cure What is drug-resistant TB?  Tuberculosis, caused by Mycobacterium tuberculosis, is one of the most common communicable diseases in India, its transmission fuelled by unhygienic, crowded living conditions.  If the bacterium is exposed to a non-lethal dose of antibiotics combination — which can happen if a patient starts a course of medication but does not finish it — it can become unresponsive to those antibiotics. The infection is then said to have become drug resistant. How bad can this condition get?  Depending on responsiveness to basic and advanced antibiotics — referred to in medical parlance as first-, second-, and third-line drugs — drug resistant TB is classified as ‘multi-drug resistant’ (MDR), ‘extensively drug resistant’ (XDR) and, recently, ‘totally drug resistant’ (TDR). MDR TB is resistant to at least two of the first line TB drugs, Isoniazid and Rifampicin. When in addition, it is also resistant to fluoroquinolones and at least one of three injectable second-line drugs, viz., Amikacin, Kanamycin and Capreomycin, the infection is categorised as XDR. TDR shows resistance to all tested first- and second-line drugs — Isoniazid, Rifampicin, Streptomycin, Ethambutol, Pyrazinamide, Ethionamide, para-aminosalicylic acid, Cycloserine, Ofloxacin, Amikacin, Ciprofloxacin, Capreomycin and Kanamycin.

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What are the possible sites of TB infection in the body?  While pulmonary or lung TB is the commonest and most virulent form of the disease, the baterium can, in fact, infect a vast range of organs in the body, including the brain, bones, lymph nodes, spinal cord and abdomen. These forms of TB are not as contagious as pulmonary TB, though many of them have a prior history of lung infection. Non- pulmonary tuberculosis is also difficult to diagnose, because there are no clear-cut guidelines. How common is drug resistant TB in India?  According to WHO data, in 2013, a total 14,15,617 cases of TB were notified, some of which were relapses and, therefore, strong suspects for drug-resistance. Of the new cases, 2.2% were of MDR TB.  A total of 20,763 patients were started on MDR TB treatment that year. Consolidated prevelance data for XDR TB is harder to find, but reviews in various institutes found 2.4%-5% of MDR cases could turn out to be XDR. Incidence figures for TDR TB are not available. How is India tackling drug-resistant TB?  Directly Observed Treatment, Short Course (DOTS) has been India’s most effective weapon. While treatment must continue for between 6 months and two years, as both results and side-effects — such as impaired liver function — start to show within a month or two, some patients discontinue the medication.  Treatment is sometimes also interrupted due to factors such as poverty and unemployment. The DOTS strategy ensures that patients are diagnosed and treated effectively until they are cured, by ensuring the availability of the full course of drugs, and by monitoring patient compliance.  The medicine is administered in the presence of a health worker. The effort has been to get patients from private practitioners to government health centres. India’s only double coconut tree artificially pollinated  Scientists at the Indian Botanical Garden in West Bengal’s Howrah district have carried out artificial pollination of the only double coconut tree in India, which bears the largest seed known to science.  One of the rare and globally threatened species of palm, the double coconut ( Lodoicea maldivica ) tree was planted at the botanical garden in 1894 and the artificial pollination is a result of decades of work by scientists of the Botanical Survey of India (BSI).  “We collected some pollen from palms from Sri Lanka but could not successfully pollinate it. Finally, with the help of pollen from another tree in Thailand, the pollination process was successful,” BSI Director Paramjit Singh told. Longest surviving palm  The Double Coconut tree not only bears the largest seed known to science — weighing around 25 kg — but this unique species is also the longest surviving palm which can live for as long as 1,000 years, he says.  The Indian Botanical Garden which serves as the repository 12,000 trees from 1,400 different species is careful in nurturing the palm.  The palm tree is located in the large palm house of the Botanical Garden which has the largest collection of palms in South East Asia with around 110 palm species.  This rare tree can be found in only two of the 115 Seychelles islands and is also called Coco de Mer (coconut of the sea), says Mr. Hameed Legend  Legend bestows the seed with the power to bring good fortune to its owners. “There has also been a tradition of making kamandals [drinking vessels] from the double coconut by bisecting the shell.  It was believed that those who consume water from these kamandals will be protected from poisoning,” Mr. Hameed said. Subsequently, sadhus started using Kamandals and it got its place in religious rituals. Rs. 1,500-cr. nuclear insurance pool set up  The Union government has launched an insurance pool of Rs. 1,500 crore, mandatory under the Civil Liability for Nuclear Damage Act to offset the financial burden on foreign nuclear suppliers in case of an accident.  Making the announcement, Union Minister of State in the Department of Atomic Energy Jitendra Singh said several projects such as the long-pending Gorakhpur Haryana Anu Vidyut Pariyojna held up in the absence of the pool were now expected to move forward.  Clauses in the Act, which give the operator the right to legal recourse and allow it to sue the suppliers in case of any accident, were seen as being a major hindrance to the growth of the nuclear industry. These concerns led to the formation of the Indian nuclear insurance pool.  Under the pool, nuclear operators’ liability and suppliers’ special contingency insurance policies will be offered.  The pool has been set up by General Insurance Corporation of India and 11 other non-life insurers, including New India, Oriental Insurance, National Insurance and United India Insurance, from the public sector, apart from private insurance companies.  Y. Ramulu, General Manager of General Insurance Corporation (GIC), the fund operator, said a “shortfall of Rs. 600 crore” was met when a domestic insurance company chipped in with Rs. 100 crore more.

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 “Remaining gap [Rs. 500 crore] was filled in by the British Nuclear Insurance Pool,” he said. “This will address the concern of the suppliers such as the Gorakhpur Haryana project and also of foreign players. Now we have a policy for the entire nuclear industry of the country.” Comet lander Philae wakes up from hibernation  The probe became the first spacecraft to land on a comet when it touched down on the icy surface of 67P/Churyumov-Gerasimenko last November.  The comet lander Philae has awakened from seven-month hibernation and managed to communicate with Earth for more than a minute, the European Space Agency said.  The probe became the first spacecraft to land on a comet when it touched down on the icy surface of 67P/Churyumov-Gerasimenko in November 2014.  Shortly after its historic landing, Philae managed to conduct experiments and send data to Earth for about 60 hours before its batteries were depleted and it was forced into hibernation.  The German Aerospace Centre, which operates Philae, said that the probe resumed communication sending about 300 packages of data to Earth via its mother ship Rosetta, which is orbiting the comet.  Philae has more than 8,000 data packages still stored in its memory, which scientists hope to receive when the probe next communicates with Earth. The data contained therein may help them determine where exactly Philae has landed.  The probe’s exact location has been a mystery, though scientists have narrowed down its likely location based on images and other measurements received from Philae and Rosetta. Capital gets new precision cancer treatment method  A new radiation therapy called Proteus that uses beams of protons to destroy cancer cells was introduced in India by Phillips Healthcare at Delhi’s Indraprastha Apollo Hospitals.  Proteus uses less radiation in higher precision to target the cancer tumour without damaging healthy tissues surrounding it. “When photons are used for radiation therapy, the dose is very high and it also destroys the healthy tissues surrounding the tumour.  Proton therapy uses a very low dose that is focussed on the tumour to ensure the tissue and organs around are not affected,” said Olivier Legrain, chief executive officer, Proteus, Ion Beam Applications (IBA), which developed the technology.  The treatment is very effective for eye, brain, spinal cord, prostate, liver and lung cancers and any tumour close to the brain stem.  Since the beam of proton can be used very precisely, proton therapy is advisable in case there are any major organs near the cancerous growth, like, in breast cancer, where the heart may get affected due to unfocussed photon radiation.  “As it protects other organs from getting destroyed, it is very good for paediatric cancer. The patient can lead a quality life after the treatment,” says Legrain. 123% rise in 23 years, India on a diabetes high alert  A recent study had estimated that nearly 600 million people in the world will suffer from diabetes by 2035. India is the world capital of diabetes, and poor management and healthcare facilities being one of the major reasons for the high prevalence of diabetes in the country.  The study conducted by the Institute for Health Metrics and Evaluation at the University of Washington revealed some shocking statistics about diabetes in India.  Even though the diabetes rate has gone up by only 45% globally, in India, it has escalated by a 123% between 1990 and 2013.  According to the statistics, diabetes has now become the top ten reasons for various others disorders like obesity, obstructive sleep apnea, kidney disease, lower urinary tract infections and stroke.  What is worst is that many people are unaware that they are suffering from diabetes and have various misconceptions about the disease.  301 acute and chronic diseases and injuries in 188 countries were analysed, and it was found that trends that were prevalent to rich countries are soon catching up in third world countries.  According to the experts, the rapid economic development of India over the last two decades led to lifestyle changes like changes in eating habits and sleeping patterns of youngsters and hence a lifestyle disease like diabetes is on the rise.  Diabetes is highly prevalent also because of increasing stress levels, lack of exercise, irregular working hours, dependence on alcohol and fast food that also leads to obesity and heart disease. The study pointed out that the decline in communicable diseases like malaria and tuberculosis during a hinting at a rise in cancer and diabetes.  However, the burden of disability for any disease has not increased over the past 23 years and the causes are nearly the same.  Depressive disorder, iron deficiency anemia, low back pain, and migraine were the top ranking diseases in India in both 1990 and 2013. Diabetes ranked eighth in 2013 whereas it did not feature on the top ten lists in 1990. China confirms test of supersonic nuclear delivery vehicle  Chinese defence ministry has confirmed the test of a supersonic nuclear delivery vehicle, a move described by the US as an "extreme manoeuvre" amid tension in the South China Sea.

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 The fourth successful test of hypersonic glide vehicle - which the US has dubbed the "Wu-14" - was carried out.  "The scheduled scientific research and experiments in our territory is normal, and those tests are not targeted at any country and specific goals," Hong Kong-based South China Morning Post quoted the defence ministry as saying.  US website the Washington Free Beacon, which first reported about the test, said the new strike vehicle is considered a high-technology strategic weapon capable of delivering nuclear or conventional warheads while travelling on the edge of space.  One of its key features is the ability to manoeuvre to avoid US missile defences, it said.  The Wu-14 was assessed as travelling up to 10 times the speed of sound, or around 7,680 miles per hour, it said.  Unlike earlier tests, the latest test demonstrated what one official called "extreme maneuvers" that appeared to analysts designed for penetrating through missile defense systems, it said.  "The test is aimed at helping Fan increase the People's Liberation Army's bargaining power on the negotiation table when he deals with his US counterpart," Macau-based military observer Antony Wong Dong said.

ENVIRONMENT India richer by 349 new species  Scientists and taxonomists of the country have discovered 349 new species of flora and fauna in the past one year — 173 species and genera of plants and 176 species of animals.  “Of the new plants, some of the significant findings include nine new taxa of wild Musa (bananas), four species of black plum (jamun), three species of wild gingibers and 10 species of orchids,” . Biodiversity hotspots  According to scientists of the BSI, the Western Ghats accounted for 22 per cent of the new discoveries, while the Eastern Himalayas and the north-eastern States each accounted for 15 per cent of the species found.  In Arunachal Pradesh alone, 25 species of seed plants were discovered. Reptiles too  Interestingly, two species of reptiles have also been located for the first time in the country — one in Tamil Nadu and another in Madhya Pradesh.  While most of the new species of amphibians were discovered from the Western Ghats, majority of fish species were from north-east India.  Scientists of both BSI (Botanical Survey of India) and ZSI (Zoological Survey of India) agree that the Western Ghats and the northeast are biodiversity hotspots where most new species were found.  Apart from the new species, the BSI has also added 105 new records and ZSI 61 ‘new records.’ Animals and plants that are found elsewhere in the world but have been spotted in India for the first time are called ‘new records.’  Last year, 614 new species of plants and animals — 366 plants and 248 animals — were discovered. “It is natural that with every passing year, the number of new discoveries will decrease,” Mr. Venkataraman said.  In India, 96,891 species of animals and 47,791 species of plants have been recorded so far. Everest moved 3 cm but height not affected by Nepal quakes  Mt. Everest moved three centimetres during the recent devastating earthquakes in Nepal but contrary to earlier reports, the height of world’s tallest mountain has not been affected, Chinese official monitoring agency said.  Mt. Qomolangma, the Tibetan/Chinese name for Mt Everest, has moved 40 cm to the northeast over the past ten years, including three centimetres during the April 25 and May 12 quakes, China’s National Administration of Surveying, Mapping and Geoinformation said.  This is contrary to reports by Europe’s Sentinel-1A radar satellite that world’s tallest peak may have shrunk about 2.5 cm after the quake.  The first good view from a satellite showed that a broad swath of ground near Kathmandu lifted vertically, by about one metre causing severe damage to the city, Live Science reported last month.  The data also indicated Mt Everest might have, got a bit shorter, the report said. But the Chinese data contradicts this.

PERSONS IN NEWS Dhoni sole Indian in Forbes list of world’s richest athletes  Cricketer Mahendra Singh Dhoni is among Forbes magazine’s 100 highest-paid athletes in the world, the only Indian sportsman on the list.  The list has been topped again by American boxer Floyd Mayweather and includes golfer Tiger Woods, tennis star Roger Federer and Portuguese footballer Cristiano Ronaldo.  Dhoni has been ranked 23rd on the list of The World’s Highest Paid Athletes 2015, dropping a notch from his ranking of 22 last year. Dhoni’s total earnings stood at $31 million, including amounts from salary/winnings at $4 million and endorsements worth $27 million.  The 33-year-old cricketer retired from Test cricket at the end of 2014, but remains India’s skipper at the One-Day International and T20 levels.

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 “He led India to the semifinal round of the 2015 cricket World Cup before suffering a loss to eventual champion Australia, and in May the Chennai Super Kings went to the IPL final for the sixth time in his eight years as team captain,” Forbes said. Rock Garden creator Nek Chand passes away  Creator of the iconic Rock Garden, Nek Chand, who has amazed people for decades with his unique sculptures made from waste, died.  The 90-year-old architectural autodidact was Padma Shri awardee,Working as a roads inspector of the Public Works Department in Punjab from 1951, Mr. Nek Chand had quietly built his magical kingdom clearing a little forest patch near the famous Sukhna lake to create a small garden.  Waste like broken crockery, electrical fittings, glass bangles, bathroom tiles, wash basins and bicycle frames were used to make mosaic sculptures of men, women, animals and gods.  The iconic Rock Garden, inaugurated in 1976, is now spread over an area of 40 acres and more than 2.5 lakh people from India and abroad visit it every year.  Mr. Nek Chand’s unique art has also been showcased in museums abroad, including at the National Children’s Museum in Washington. Top Indian-American doctor allegedly shot dead by friend who later commits suicide  Renowned Indian-American cardiologist Suresh Gadasalli, who performed the world's first simultaneous hybrid revascularisation, was shot dead by his friend and business associate who then committed suicide in Odesaa in the US state of Texas, police said.  Dr Gadasalli, 53, was shot dead by 60-year-old patient and business associate Ayyasamy Thangam at the 'Healthy Heart Centre’.  Dr Gadasalli hailed from Bangalore and was educated at the Jawaharlal Nehru Medical College in Belgaum, Karnataka, before studying at the Internal Medicine and Cardiology at the University of Wisconsin Medical School and the Sinai Samaritan Centre in Milwaukee.  The Healthy Heart Centre profile mentions that Dr Gadasalli was recognised as a leading physician of the world by the International Association of Cardiologists.  He was named "super doctor" by Texas Monthly in 2008.  In 2005, he performed the world's first simultaneous hybrid revascularisation, which involved two major procedures - coronary artery bypass and stent replacement, using a robotic system known as the Da Vinci Surgical System. World Cup winner Zito dies aged 82  Zito, a two-time World Cup winner with Brazil, has died at the age of 82.  In an official statement the Brazilian Football Confederation credited Zito with bringing current Brazil star Neymar to Santos during his time on the backroom staff.  Zito played alongside Pele in Brazil's World Cup-winning squads in Sweden and Chile and scored a goal in the 3-1 final victory over Czechoslovakia in the latter tournament.

PLACE IN NEWS Surat, the heart of India’s stent market  Diamond hub Surat is now a major player in the cardiac stent market.  The city, famed for its Rs 90,000-crore diamond industry, has emerged as the biggest manufacturer of cardiac stents in India.  Nine of the 11 Indian companies manufacturing stents — tiny tubes that make blood flow through choked arteries — are based in Surat and neighbouring Vapi.  There is a reason for it: the laser technology that revolutionized diamond cutting has been the lifeblood of the stent industry.  Overall, Indian companies enjoy 40% share as foreign players are fast ceding ground due to pricing — domestic stents cost just half.  Cardiac stents are made of stainless steel or an alloy with cobalt and chromium. The process requires the same equipment and skill-sets as diamonds. In fact, stent making requires much lesser intensity of laser fire than diamonds. All it requires is a laser to drill a hole with a diameter of 2.25 to 4.5 mm and length of 8 to 48 mm.  Dr Tejas Patel, a Padamshri awardee, said he only uses stents that are approved for use in the US and Europe. "But if low-cost stents made locally can assure long-term efficacy and quality, there is a huge market here," he said.

SPORTS Smith tops ICC player rankings  The Australian batsman now sits on 913 points, which has given him the 24th spot on the list of best Test ratings ever.  Australian batsman Steven Smith has topped the ICC player rankings following his stellar display in the Kingston Test, becoming the second youngest No.1 batsman after Sachin Tendulkar.  He now sits on 913 points; whi8ch has given him the 24th spot on the list of best Test ratings ever.  Smith has leap frogged Kumar Sangakkara of Sri Lanka and South African duo of AB de Villiers and Hashim Amla in the latest rankings.

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 Shikhar Dhawan and M. Vijay achieved career-best positions but skipper Virat Kohli dropped out of the top-10 after the drawn one-off Test against Bangladesh in Fatullah.  Vijay has moved up three places to 20th, while Dhawan has vaulted 15 places to 45th. However, Kohli has slipped a rung to 11th.

AWARDS NY museum to honour Mani Ratnam  A prestigious museum will honour Mani Ratnam with a special tribute, which it said has been “long overdue” for the “important filmmaker”. Mani Ratnam, will make a rare appearance at the Museum of the Moving Image for the tribute from during which Roja , Bombay and Dil Se will be screened.  The museum described him as “that rarest of film directors” who is “capable of making exquisitely crafted, hugely entertaining, yet intelligent and provocative films on a range of social and political issues”. The series is titled “Politics as spectacle: the films of Mani Ratnam”.  “The false dichotomies — art vs commercial cinema, entertainment vs political filmmaking — disappear when one sees how easily Mani Ratnam is able to combine aspects of all of them,” Mr. Pena said. Musicians, film-maker chosen for Sangeet Natak Akademi fellowships  Musicologist S.R. Janakiraman, film-maker M.S. Sathyu, classical singer Vijay Kichlu and musician Tulsidas Borkar have been chosen for the prestigious Sangeet Natak Akademi fellowships for the year 2014.  Akademi ratnas, or fellowships, and awards for 2014 were decided by the General Council of the Sangeet Natak Akademi, also known as the National Academy of Music, Dance and Drama, at its meeting.  The fellowship of the Akademi is considered a rare honour and restricted to a small group at a given time. At present, there are 40 fellows.  The General Council also selected 36 artists from the fields of music, dance, theatre and puppetry for the Sangeet Natak Akademi Awards (Akademi Puraskar) for the year 2014.  Nine eminent artists in the field of music — Ashwini Bhide Deshpande, Ustad Iqbal Ahmed Khan and Nath Narelkar for Hindustani vocal; Pandit Nayan Ghosh (tabla) and Ronu Majumdar (flute) for Hindustani instrumental music; Neyveli Santhanagopalan for Carnatic vocal; T.A. Kaliyamurthy (Thavil), Sukanya Ramgopal (Ghatam) and Dwaram Durga Prasad Rao (violin) for Carnatic instrumental music — have bagged awards.  In the field of dance, Adayar Janardanan (Bharatanatyam), Uma Dogra (Kathak), Amusana Devi (Manipuri), Vedantam Radhesyam (Kuchipudi), Sudhakar Sahoo (Odissi), Anita Sharma (Sattriya), Jagru Mahto (Chhau), Navtej Singh Johar (contemporary dance) and Varanasi Vishnu Namboothiri (music for Kathakali) have been selected.  The eight theatre persons chosen for awards were: Asgar Wajahat, Surya Mohan Kulshreshtha, Chidambar Rao Jambe, Debshankar Haldar, Ramdas Kamath, Amod Bhatt, Manjunath Bhagwat Hostota and Amardas Manikpuri.  For their contribution to traditional/folk/tribal music/ dance/theatre and puppetry, eight artistes have been selected. They are: Puran Shah Koti, K. Kesavasamy, Kalamandalam Ram Mohan, Reba Kanta Mohanta, Abdul Rashid Hafiz, K. Shanathoiba Sharma, Ramdayal Sharma and Thanga Darlong.  Director, playwright and writer Akshara K.V. and musician Indudhar Nirody will receive awards for Overall Contribution/Scholarship to Performing Arts. The honour of Akademi fellow carries a purse of Rs. 3,00,000, and Akademi awards Rs.1,00,000. Knighthood for Cambridge professor of Indian origin  Harshad Kumar Dharamshi Bhadeshia, a renowned metallurgist and the Tata Steel professor of Metallurgy at the University of Cambridge, has been knighted for services to Science and Technology in the Queen's Birthday Honours List for 2015.  Bhadeshia leads this year's Britain's highest civilian honours for several Indian-origin individuals from various walks of life. The honorands include noted actor Kevin Spacey, who has also been knighted.  A Cabinet Office note said: "Professor Bhadeshia has not only performed brilliant basic research on steels but has brought a number of the new steels he has developed to manufacture. "  India-based individuals honoured in the list include Elizabeth Mehta, founding director of the Muktangan Schools Network; Paul Richard Walsh, founder of the Jungle Crows Foundation, Kolkata; Satpal Dass, chairman of Pacific Interiors; and Robin Eric Garland, chairman of the Project Mala Charitable Trust.

OPINION Success, sobriety  Prime Minister Narendra Modi’s decision to authorise cross-border strikes against the National Socialist Council of Nagaland-Khaplang (NSCN-K) in Myanmar could prove to be a defining moment in the evolution of India’s counter- terror responses.  Though this is not the country’s first transborder counter-terrorism operation, it is the only one for which a government has publicly taken responsibility.  The decision to strike at bases across the border, authorised by the prime minister, was facilitated by years of patient diplomacy, which led Myanmar to assent to India’s raid.

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 For the apparently flawless execution of the operation, credit must go to the soldiers who risked their lives, and to the commanders who have relentlessly worked to improve the special forces’ capabilities.  The prime minister’s military advisors will, however, have told him that even in the best-planned special forces operations, things can — and do — go wrong.  The United States special forces in Somalia were surrounded and slaughtered by militia; near-disaster hit the Osama bin Laden raid when a helicopter crashed. The risk was taken, though, and for that act of courage, the prime minister must get credit.  Less creditworthy, though, is the apparent effort to harvest political capital from the army’s success. Minister of State for Information and Broadcasting Rajyavardhan Singh Rathore’s references to the prime minister’s chest measurements, and his delight in the act of “revenge”, may please juveniles on Twitter, but are not the stuff that serious government is made of. Interestingly, the army — which liaises with the Myanmar military on an everyday basis and is aware of their sensitivities — made no mention of a cross-border operation, only vaguely stating that it had carried out strikes “along the border”.  Rathore, however, went public with information that the strikes had been carried out inside Myanmar with its government’s consent — potentially embarrassing a partner who, after all, is a signatory to a ceasefire with the NSCN- K.  India needs a calm, serious discussion on what can be learned from this exercise of hard power, and what the limitations to its use might be.  In the short term, there is no doubt the NSCN-K will seek to strike back against Indian targets, in an effort to deter further military action. New Delhi must anticipate the possibility and ensure that its response does not derail moves towards peace within Nagaland.  The government must also beware of calls for similar action against Pakistan, an adversary that has the wherewithal to escalate even localised confrontation into an expensive conflagration. India’s discovery that it can use force may be overdue, but it must now learn it is best applied only as a precision instrument. Getting the climate story right  In what has been a marathon year for climate talks, negotiators have been meeting for the last two weeks to prepare a ‘2015 Agreement’ to be signed at the United Nation’s Climate Change Conference in Paris in December.  But, in some ways, the international talks are the sideshow. In this round of negotiations, the focus lies on what each country places on the negotiating table in Paris as its national ‘contribution’ to addressing climate change.  India has been correctly arguing that contributions should include measures to adapt to climate change and the provision of finance and technology to developing countries, but what will most closely be watched are efforts to reduce greenhouse gases. Contribution and justification  For each country to self-determine its national contribution is a curious approach. Currently, there is no international benchmark of what counts as sufficient climate action.  Even if there was such a benchmark, whether country contributions will be reviewed at the international level is an open question, and the subject of heated negotiation. The obvious incentive then, for any country, is to place a limited and costless proposal on the table.  There are two counter pressures: from strong domestic constituencies for aggressive climate action; and, more salient for India, international pressure through naming and shaming.  But without an agreed benchmark of adequate action, on what basis would naming and shaming occur? The answer is that each country not only puts out a contribution, but also justifies it. In other words, equally important will be the story of why a country’s contribution is adequate, ambitious and fair.  Other countries have been on this storytelling exercise for some time. The European Union has pledged at least 40 per cent reduction in emissions from 1990 levels by 2030, which it states is a substantial step up from its 2020 targets.  The U.S. contribution appears far more modest — a reduction of 26-28 per cent from 2005 levels by 2025, and is justified by invoking the political risks the U.S. President took to push this action through in the face of opposition pressure.  China has provided hints of its contribution, and is expected to announce it this month: it will peak emissions by 2030 at an unstated level.  This seemingly weak statement is buttressed not only by Chinese arguments but by the likes of noted economist Lord Stern, who has declared that China will under-promise but over-deliver, because of domestic compulsions around its local environmental issues.  So, what story should India tell? It is in India’s interest to signal serious intent, both because it wishes to project itself as a responsible global actor and because, as a nation that is deeply vulnerable to climate impacts, an effective global climate agreement is firmly in its own interest. Fortunately, the ingredients for a convincing and substantive narrative are available.

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 The first element is an old story with a new twist: India is a rapidly growing economy, starting from a low economic base. Its per capita emissions are a third of the global average, and between a quarter and a sixth of those of other emerging economies; it needs carbon headroom to grow. But the twist is that because it is a rapidly transforming society and economy, it is near impossible to predict future emissions commensurate with its needs.  India is in the early stage of three transformations: a demographic transition for which its needs to create jobs; a shift from a rural to an at least half-urban society; and vastly expanded infrastructure to support both transitions.  None of these factors are true to the same extent in other emerging economies. Successfully negotiating all of these transformations requires energy, which, at least at the moment, means uncertain but higher future carbon emissions.  Given these factors, it would be foolhardy to place a cap on India’s carbon headroom. This point is validated by recent analyses from the Centre for Policy Research.  The report found that seven recent Indian energy and climate models predict anywhere from a doubling to a tripling of India’s carbon dioxide emissions from now until 2030. While there may be some technical scope to narrow this range, there is a residual uncertainty about the future that leads to such a wide band.  Thus, spelling out a peaking year or putting a firm number to future absolute emission levels would be irresponsible. A three-step package  However, India will need to provide some pledges as an upgrade on its Copenhagen pledge, which was to reduce the economy’s carbon intensity 20-25 per cent below 2005 levels by 2020. While intensity numbers are also hard to predict because they involve computing future carbon emissions and GDP growth, adding 10-15 per cent reduction in intensity by 2030 is a likely safe statement. But this is, at most, a relatively conservative starting point, as it is intended to be.  The second step, therefore, is to demonstrate how, despite these circumstances, India is willing to go much further and put on the table a more substantial contribution to global mitigation action. The key argument is that for a rapidly transforming economy like India, early and certain actions that ‘bend the curve’ of emissions downward, so that emissions increase at a slower rate, are a far more valuable climate contribution than uncertain future actions.  In other words, India’s main contribution could be to avoid locking the economy into a high emissions path.  However, to be consistent with its priority on sustainable development, and as a country with limited historical responsibility for climate change, India should amplify its stated ‘co-benefits’ approach to climate change: pursuing actions that achieve sustainable development while contributing to mitigation. This is a powerful idea.  Our research shows that in areas such as local environmental control and enhancing energy security, there are strong complementarities with limiting carbon.  Third, this vision has to be given concrete shape through specific immediate actions that would, in fact, bend the emissions curve. To develop these actions requires careful sector-by-sector assessment of the scope for co-benefits.  Here, too, India has a strong track record, particularly in areas such as energy efficiency, where several policy, legal, and institutional changes have reshaped investment incentives toward greater energy efficiency.  In areas such as renewable energy, too, the emphasis should be on immediate changes, such as those under consideration in the amendment of the Electricity Act, 2003, rather than on long-term, uncertain and aspirational targets.  India’s intended contribution should include actions already taken and actions under consideration in these sectors and others such as public transport, freight, and buildings.  Together, this three-step package provides a compelling story for Indian action that is both a strong contribution to the global effort, and rightly emphasises the country’s development needs. In 2015, the climate game is not just about numbers but also about the story. If India doesn’t frame the benchmarks by which it wishes to be judged, others will do it, and to its detriment. The Ukraine imbroglio  The G-7 nations put on a brave face against Russia at a summit held in the Bavarian Alps and decided to continue their sanctions against President Vladimir Putin for what they called his war in Ukraine.  U.S. President Barack Obama in fact accused Mr. Putin of “wrecking his country in pursuit of a wrong-headed desire to recreate the glories of the Soviet empire”. Russia countered by warning that it would prolong its own counter- sanctions, indicating there would not be any change in its Ukraine policy.  While all this is happening, a fresh outbreak of violence between government troops and pro-Russian separatists in eastern Ukraine is threatening to derail a tenuous ceasefire. Ukraine is paying a heavy price for this stand-off.  It has lost Crimea to Russia, is fighting a deadly civil war in the east, and its economy is in a state of collapse, it having contracted by nearly 18 per cent in the first quarter of 2015.  The real crisis of Ukraine is that it is caught in a game of one-upmanship between the West and Russia. The West wants to punish Russia for its annexation of Crimea and for helping separatists in eastern Ukraine.

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 Moscow, on the other hand, sees Western involvement in the ouster of Ukraine’s pro-Moscow President Viktor Yanukovych, and seems determined to resist the North Atlantic Treaty Organisation’s outreach to its backyard.  If the West’s real intention is to get Russia to change its policy towards Ukraine, it should rethink its sanctions regime, which has been demonstrably ineffective over the past 15 months. Supporters of the sanctions might argue that those worked in the case of Iran and might work in Russia’s case as well. But Russia is not Iran.  It is a geopolitical giant, a former superpower and a huge country that still has substantial leveraging power in Central Asia and Eastern Europe.  Given the way policy-making works in the Kremlin, it is illogical to believe that any kind of coercion would work against Mr. Putin. Besides, there is little to suggest that the Western policy of isolating Russia is working at all.  More than a year after Russia was suspended from the G-8 following its annexation of Crimea, the leading powers still need Russia to deal with pressing global issues ranging from the Iranian nuclear talks to the Syrian civil war.  So a more pragmatic approach would be to start a diplomatic engagement in a mutually conducive environment. The inept handling by both sides of what was a domestic issue in Ukraine has turned it into a regional problem.  Left unchecked, the problem could well turn into a war. It is high time the West and Moscow set aside rhetoric and started addressing the problem directly. The NITI gritty  Barely five months after coming into being, has the Niti Aayog, the successor to the now-disbanded Planning Commission, seemed to be facing an existential crisis.  According to a report in this paper, its vice chairman Arvind Panagariya is apparently not sure of either his status in the government or the Aayog’s role in policymaking.  While technically enjoying the rank of cabinet minister, the distinguished Columbia University economics professor, unlike his predecessors in the commission, isn’t even invited to cabinet meetings.  In contrast to the Planning Commission, which was taken seriously for, among other things, being influential in matters of resource-sharing and fund allocations from the Centre, state governments don’t seem to be particularly in awe of the new institution.  This scenario is only a reflection of the basic lack of clarity on the Niti Aayog’s role — over what it is supposed to do, and how.  True, the old Planning Commission approach of formulating five-year plans and setting individual sectoral targets wasn’t really suited to a liberalised economy, which largely works based on decentralised production decisions taken by private players responding to dynamic market signals.  No less of an anachronism in an increasingly federal polity was the Centre fixing plan sizes of states, and even deciding which schemes or sectors to spend their monies on.  There was, hence, both a compelling economic rationale as well as symbolism in scrapping an overbearing institution that was viewed by many as one of the last vestiges of Nehruvian socialism.  But its replacement suffers from the opposite problem of being entrusted with a vague mandate of evolving “a shared vision of national development priorities and strategies with the active involvement of states”. What exactly that is, let alone how it’s to be achieved isn’t clear.  There is no doubting the need for an institution that can engage in strategic economic thinking — which a finance ministry, with its more short-term revenue or growth concerns, is ill-equipped to do — or one that can influence states in carrying out reforms and focusing on areas (farm extension, water conservation, empowering local bodies, etc) that they wouldn’t in the normal course.  But such constructive engagement is not possible without said institution acquiring sufficient legitimacy and heft in the policy establishment, apart from a role in resource allocation to states that has now been totally usurped by North Block.  The last bit is important. While it’s great to be called a national policy think-tank, the fact is, at the end of the day, there is more respect for a body that can proffer more than just sage advice. A key right from Telangana  Even as the Central government fights to create a business-friendly environment, the brand-new Telangana government led by K. Chandrasekhar Rao has walked the talk by announcing a unique and highly welcome Right to Clearance policy.  This is a significant move in the new State’s industrialisation programme, and could prove to be a crucial differentiator in the near future. Akin to the Right to Information, the Right to Clearance recognises that businesses have the right to know why project proposals are being delayed and to demand redress for unnecessary procrastination.  Bureaucratic red-tape and corruption have not really come to an end in India despite the death of licence raj; industries are still at the mercy of whimsical policies and procedural nightmares.  The Right to Clearance will involve a provision to impose a fine of Rs.1,000 on officials for each day of delay in granting clearance to a project, besides allowing businesses to know the exact reason why a proposal is stuck.  It also lays down a 15-day time limit for the clearance of mega-projects involving over Rs.200 crore, and of one month for smaller projects. If government departments miss the deadline, the project will get automatic deemed approval.  These, and other features such as single-window clearances, automatic renewals and self-certification, will go a long way towards creating an ecosystem that eases doing business in the State.

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 The opportunity costs of clearance delays are enormous. Such cost and time overruns impact the viability not just of industries but also of lending institutions. Across the country, projects worth crores of rupees are mired, awaiting clearance.  It is this fact that makes the Chandrasekhar Rao government’s move particularly laudable. Naturally, it has been welcomed by leading industrialists, with some of them already announcing projects.  They now have a sense of reassurance and renewed belief that the Telangana government is serious about creating an outstanding industrial hub. Extending the out-of-the-box thinking, the Chief Minister has assured industry of “a graft-free and hassle-free system” that will remove lobbies and middlemen.  Moves such as this will help rid the bureaucracy of inertia, and inject a sense of urgency and responsibility into the system. The Telangana government’s move not only empowers industries but also raises the bar considerably, and other States will have to match the offer if they don’t want to lose out amid the growing inter-State competition for investment.  There is, however, one thing the government must note. Project-appraisal is not only about speedy clearances. Proper due diligence is also a sine qua non for clearance. Speed should not result in ill-conceived or poorly-structured projects being rushed through, and it is to be hoped that the policy will also ensure that. The makings of a game-changer  The final report of the Bibek Debroy Committee on restructuring the Indian Railways has suggested a process of gradual reforms, involving the introduction of commercial accounting practices and greater decentralisation of powers, allowing the entry of the private sector, and the setting up of an independent regulator.  The committee has indicated a five-year time frame to implement the measures. One of the most transformative suggestions made is allowing private sector players to run trains.  It has suggested exposing railway production units to competition, and the creation of an environment conducive to private investment by giving confidence to private players through transparent accounting processes.  This has to be seen in the context of the failure of the public-private partnership route so far in both the road and railway sectors. There have been different reports in the past that have pointed to what ails the Indian Railways.  For instance, in 2012 a committee headed by Sam Pitroda, then Adviser to the Prime Minister, submitted plans for the modernisation of the Railways at a cost of Rs.5.6 lakh crore over a 10-year period.  The Debroy Committee report stands out in having identified definitive measures to effect a transformation, and setting a timeline.  But it will be a challenging task, especially the recommendations relating to opening up to the private sector and setting up an independent regulator.  The committee has acknowledged that restructuring would be a humongous task, and quite cautiously used the term ‘liberalisation’ for the entry of private players — rather than privatisation or deregulation.  The railway employee unions are already up in arms over the references to the private sector. This would be a difficult equation to manage. The suggestion to set up an independent regulator will equally pose a challenge.  This will essentially mean setting up a body outside of the powerful and centralised Railway Board, which might resist such a move.  The setting up of an independent super-regulator has been spoken about in the financial services space, but not much has happened on that front.  However, all these suggestions merit immediate consideration. The Railways has suffered huge under-investment in capacities and today its very viability is a question mark.  Now the onus is on Prime Minister Narendra Modi, who initiated the setting up of this Committee, and Railway Minister Suresh Prabhu, known for his dynamic approach, to take the railway unions into confidence and implement the measures.  Both have declared the Railways is not going to be privatised, but the unions do not appear pleased. Winning their trust would be key to the implementation of the measures. That would determine if this will remain just another report or a game-changer.

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WEEKLY NEWS AND ANALYSIS FROM 17TH TO 24TH JUNE, 2015

INTERNATIONAL NEWS UN body endorses India’s view  India won a major victory when the United Nations Disarmament Commission overwhelmingly voted to deplore the Chinese nuclear test explosions and endorsed India’s views about an integrated approach to nonproliferation.  The Commission adopted by 83 votes against one, with 18 abstentions, the 28- power draft resolution on the disarmament question. India was not only a co- sponsor of the resolution but the moving spirit behind it.  Albania, China’s mouthpiece in the U. N., cast the solitary negative vote while the Soviet bloc, Pakistan, Algeria, Burundi, Cambodia, France, Guinea, Mali and Yemen abstained. Twelve delegations, including Nepal, were absent. U.S. to curb Trans fats by 2018  The U.S. Food and Drug Administration (FDA) have announced that it will seek to eliminate majority of partially hydrogenated oils (PHOs) from the country’s food supply by 2018.  The decision comes after years of lobbying by health advocates and scientists that artificial oils, commonly called “trans fats”, clog arteries and raise the risk of heart disease.  The FDA aims to revoke the current status of PHOs as a “generally recognised as safe” food product and reclassify it as a “food additive.” This implies that manufacturers would no longer be able to use the oils in other foods without prior regulatory approval.  The new policy could prevent as many as 20,000 heart attacks and 7,000 deaths from heart disease each year in the country. FDA said the action “demonstrates the agency’s commitment to the heart health of all Americans.”  The popularity of transfats in the U.S. soared in the 1940s, emerging as a key ingredient in everything from cake mixes to pizza. Since 2006 the FDA has insisted that food firms include transfat content information on labels.  Although the consumption of transfat fell nearly 80 per cent between 2003 and 2012, more studies emerged suggesting its harmful effects.  A 2002 investigation by the Institute of Medicine found there was “no safe level of transfatty acids and people should eat as little of them as possible.”  By November 2013 the FDA recognized transfats as a threat to public health. It released a tentative determination that PHOs were not generally recognised as safe and opened up the matter for public comment from consumers, industry, advocacy groups and academic researchers.  This reform could hold lessons for the regulation of transfat use in foods in developing countries such as India, where the weight of scientific evidence pointing to the risk between PHOs and heart disease is considerable. Russia, Germany sees new Cold War  Russia accused NATO of reviving the ghost of the Cold War by encroaching close to its borders and seeking to change the strategic balance of power, as Germany denounced Moscow's nuclear weapons build-up as a Soviet-style reflex.  Ties between Russia and the West have hit new lows over Ukraine and the latest accusations come after Moscow said it would enhance its nuclear arsenal in response to Washington's plans to station heavy military equipment in Eastern Europe.  It's not Russia that's approaching someone's borders. It's NATO's military infrastructure that is approaching the borders of Russia," Kremlin spokesman Dmitry Peskov told.  "All this ... forces Russia to take measures to safeguard its own interests, its own security."  Peskov said the West had increasingly resorted to "unconstructive and confrontational" Cold War-style rhetoric. United States plans Russian response To restore equipment for brigade of up to 5,000 U.S. troops in Baltic and Eastern European states to deter Says move would violate tacit agreements of 1990s possible Russian aggression Estonia, Latvia and Lithuania to store equipment of 150 Moscow could speed up deployment of Iskander missiles to soldiers Kaliningrad and beef up forces in Belarus Poland, Romania, Bulgaria and possibly Hungary to have storage for battalion of around 750 soldiers

U.S. plans to store around 1,200 vehicles, including M-2 Bradley fighting vehicles, armoured tanks and M1-A2 tanks  NATO Secretary General Jens Stoltenberg accused President Vladimir Putin of "sabre rattling” after the Russian leader said Moscow would add more than 40 intercontinental ballistic missiles to its nuclear arsenal this year.  Russia and the West accuse one another of endangering global security and the latest spat adds to tensions over Ukraine where Russia-backed separatist rebels seized land in the east after Moscow annexed Crimea from Kiev in early 2014.  "Russia is not entering an arms race. Russia is trying to react in some ways to certain threats but nothing more than that. We are not entering any arms race because that would hurt our capabilities in the economic sphere," Yuri Ushakov said.

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Colombo notifies 20th Amendment  Even as certain sections of political parties in Sri Lanka continue to have reservations over the latest version of the proposed 20th Amendment, the government has gone ahead with the notification of the draft legislation in the gazette.  As per the decision taken by the Cabinet, the overall size of Parliament will be 237, a rise of 12 compared to the existing legislature. Of this, 145 members will be elected directly, through the system of first past the post (FPTP). Nominated members  Though the notification does not talk of proportional representation (PR) numbers, this can be taken as 55, after taking into account the number of directly-elected members (145) and the nomination of 37 persons to the national list, which has also been mentioned in the notification.  The notification provides the scope for the Delimitation Commission for creating multi-member polling divisions and, in any event, the number of members to be elected through such a division should not exceed three. Days after Indian cross border strike, Myanmar shifts militant camps near ‘fenced’ border  Days after Special Forces of the Indian Army carried out cross-border strikes on three insurgent camps located in Myanmar, the neighbouring country has shifted six camps manned by various insurgent groups to Chin province, where the border between the two nations is heavily guarded, said a senior government official.  The camps — which belong to various insurgent groups like Indian PLA, UNLF, KYKL, MNRF — were reportedly located in and around Tamu area in northern Myanmar, near the borders of Nagaland and Manipur.  “The camps have been relocated to the Chin province, which is near the Mizoram border. The chances of insurgent groups crossing over to India from Mizoram side is unlikely as the border here is properly fenced and guarded, unlike the border with Nagaland and Manipur,” said the official.  “We have been informed by authorities in Myanmar that they have shifted the camps to the Chin province as part of their commitment to help India fight the insurgent groups,” said a senior government official. Hong Kong vetoes Beijing’s electoral reforms proposal  Hong Kong’s legislature vetoed a China-backed electoral reform package criticised by opposition pro-democracy lawmakers and activists as undemocratic, easing for now the prospect of fresh mass protests in the financial hub.  The rejection had been expected and will likely appease some activists who had demanded a veto of what they call a “fake” democratic model for how the Chinese-controlled territory chooses its next leader in 2017. No further concession  But it was a setback for Beijing’s Communist leaders, who said in response that they remained committed to universal suffrage for Hong Kong but signalled no further concessions to the pro-democracy opposition.  Beijing had pressured and cajoled the city’s pro-democracy lawmakers to back the blueprint that would have allowed a direct vote for the city’s Chief Executive, but with only pre-screened, pro-Beijing candidates on the ballot.  The vote came earlier than expected, with only 37 of the 70 members of the Legislative Council, known as “legco”, present. Of these, 28 legislators voted against the blueprint and eight voted in favour, while one did not cast a vote. UN-led peace talks on Yemen end without agreement  United Nations Special Envoy to Yemen Ismail Ould Cheikh Ahmed said the UN-brokered peace talks on Yemen ended without reaching an agreement but he believed a ceasefire could be achieved in future talks.  Ahmed stressed that though the talks which started were of a preliminary nature, "there is no doubt that there is ground ready to declare a ceasefire accompanied by a withdrawal", Xinhua quoted him as saying.  Amid continued violence and a worsening humanitarian crisis, the special envoy also highlighted the importance of reaching a humanitarian truce as quickly as possible as the holy month of Ramadan commences.  "I will make every effort, indeed double my efforts in the next few days to achieve that," Ahmed said, adding that the Geneva consultations are not the end in itself, but rather "the launch of a long and arduous path towards a transitional political phase".  "We didn't expect that a single meeting would allow us to overcome all the obstacles," the envoy said, adding that "we have seen positive signs especially in the responsiveness to certain things like the Security Council Resolution 2216".  The UN-led Geneva Consultations on Yemen, or Yemen Consultations, began in Geneva with UN Secretary General Ban Ki-moon meeting with the Yemeni delegation that came from Riyadh representing the government. World s largest book on display in Australian library  The worlds largest book, a giant atlas weighing 150 kg, has been put on display at the State Library in Sydney, media reported. The book will be on display for one month. The atlas, Earth Platinum, measures 1.8 metres by 2.7 metres. World gets ready for Yoga Day  As many as 192 countries will usher June 21, International Yoga Day, with some deep breathing and coordinated movements.  India’s big splash to mark the international event stretches from the Federated States of Micronesia in the West of Pacific Ocean to the far south of Samoa; from Reykjavik in the Nordic Island to Reunion Island in the Indian Ocean.  After 177 countries co-sponsored the big event at the United Nations, preparations are under way in 192 countries to ensure that demonstrations to mark the International Yoga Day pass off without glitch.  Missions and embassies abroad, in collaboration with non-governmental yoga institutes, have put in weeks of preparations to organise public events. Even as the celebrations remain mired in a controversy in India, 47 nations, which are part of the Organisation of Islamic Countries, giving it their approval has come as a big boost for the government, which has been trying hard to de-link the exercise from religion.

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France bans earphones for drivers, cyclists  France has announced a ban on wearing earphones while driving a vehicle and riding a cycle.  The ban, which will come into effect from July 1, was announced on Thursday and is aimed at reducing accident deaths.  Authorities said drivers needed to improve their attention while on the wheel, and noted that one in 10 deaths was linked to mobile phone use while driving.  Those caught with earphones will be slapped with a fine of 135 pounds ($214). The ban would mean an end to using hands-free kits. However, using the phone while having the caller on loud speaker is allowed, authorities added. ‘India failing to curb terror funds’  The U.S. State Department has hit out at India for ineffective implementation of anti-money laundering (AML) and counterterrorist financing (CFT) laws arguing that even when Washington supplied Modi government officials with intelligence on terrorism-related funds, basic seizures were not followed up with investigations, thus ceding ground on a more comprehensive approach. Country report  In its “Country Terrorism Reports 2014,” the Department noted that despite India aligning its domestic AML-CFT regime with international standards, “The Indian government has yet to implement the legislation effectively, however, especially with regard to criminal convictions”. Law enforcement agencies typically opened criminal investigations reactively and “seldom initiate proactive analysis and long-term investigations”.  Specifically, the U.S. alleged that the Indian government was restricting its enforcement anti- hawala prosecutions to non-financial businesses only, and more than two years after the Prevention of Money Laundering Act, “the government has not taken adequate steps to ensure all relevant industries are complying…”  More broadly, the report noted, “U.S. investigators have had limited success in coordinating the seizure of illicit proceeds with their Indian counterparts,” in part due to the poor follow-through on intelligence leads supplied by the U.S. Threats to India  Despite this specific criticism, the Department underscored the fact that India continued to be a major target for a range of terrorist groups, noting that the U.S. National Consortium for the Study of Terrorism and Responses to Terrorism found that approximately 400 people were killed as a result of terrorist attacks in India in 2014 overall.  The report also outlined the serious nature of the threat posed to India by Islamic State (IS), asserting. “Given India’s large Muslim population, potential socio-religious marginalization, and active [IS] online propaganda efforts, there remains a risk of increased [IS] recruitment of Indian nationals.”  During 2014, attacks and fatalities in Jammu and Kashmir and against Indian facilities in Afghanistan were attributed to “transnational terrorist groups such as LeT, which continued to operate, train, rally, propagandise, and fundraise in Pakistan,” it noted. Earth enters sixth extinction phase  With animals disappearing about 100 times faster than they used to, the world has embarked on its sixth mass extinction and humans could be among the first victims, said scientists in a report published in the Science Advances journal.  The researchers found that vertebrates were vanishing at a rate 114 times faster than normal. And humans are likely to be among the species lost. The study —which its authors described as “conservative” is based on documented extinctions of vertebrates, or animals with internal skeletons such as frogs, reptiles and tigers, from fossil records and other historical data.  The causes of species loss ranges from climate change to pollution to deforestation and more. “If it is allowed to continue, life would take many millions of years to recover and our species itself would likely disappear early on,” said lead author Gerardo Ceballos of the Universidad Autonoma de Mexico.  The modern rate of species loss was compared to the “natural rates of species disappearance before human activity dominated.” It can be difficult to estimate this rate, also known as the background rate, since humans don’t know exactly what happened throughout the course of Earth’s 4.5 billion year history.  The research however, found that since 1900 more than 400 vertebrates have disappeared — an extinction rate 100 times higher than in other — non-extinction — periods.  According to the International Union for Conservation of Nature, about 41 percent of all amphibian species and 26 percent of all mammals are threatened with extinction.  The last similar event was 65 million years ago, when dinosaurs disappeared, most probably as a result of an asteroid. This time around the research, which mainly highlights climate change, pollution and deforestation as causes for the rapid change, notes that a knock-on effect of the loss of entire ecosystems could be the primary cause.  As our ecosystems unravel, the Centre for Biological Diversity has noted that we could face a “snowball” effect whereby individual species extinction ultimately fuels more losses.  The report, which builds on findings published by Duke University last year, does note that averting this loss is possible through intensified conservation effects to alleviate the pressure on populations of threatened species — notably habitat loss, over-exploitation for economic gain and climate change. But that “window of opportunity is rapid closing.”

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Netanyahu Slams French Peace Initiative, Calls it Diktat  Israeli Prime Minister Benjamin Netanyahu slammed a France-backed initiative to settle the long-drawn Israeli- Palestinian conflict.  The initiative intends to help restore long-stalled peace talks between Israel and the Palestinians, and establish a Palestinian state within 18-months' time.  Netanyahu, who made the statement at the weekly cabinet meeting, was to meet later French Foreign Minister Laurent Fabius, who was in the region for a two-day visit to promote the Paris-sponsored initiative, Xinhua reported.  The Israeli premier described the French proposal as a "diktat", which doesn't take into consideration Israel's "security needs", according to a statement from the prime minister's office, adding that Israel "strongly" rejects such an international diktat.  The statement also said that peace can only be the result of negotiations rather than unilateral moves. U.N. accuses Israel, Hamas of committing war crimes

 Both Israel and Palestinian militants may have committed war crimes during last year’s Gaza war, a widely anticipated United Nations report said, decrying the “unprecedented” devastation and human suffering.  The Commission of Inquiry on the 2014 Gaza conflict announced it had gathered “substantial information” and “credible allegations” that both sides had committed war crimes during the conflict, which killed more than 2,140 Palestinians, most of them civilians, and 73 people on the Israeli side, mostly soldiers.  “The extent of the devastation and human suffering in Gaza was unprecedented and will impact generations to come,” said the chair of the commission, New York judge Mary McGowan Davis. It is biased: Israel  Israel, which has been harshly critical of the commission since its inception last year, blasted the report as biased, with Prime Minister Benjamin Netanyahu insisting his country “does not commit war crimes.”  “Israel defends itself against a terror organisation which calls for its destruction and that itself carries out war crimes,” Netanyahu said in a statement, referring to Hamas, which rules the Gaza Strip.  The report criticised both sides, but especially decried the “huge firepower” Israel had used in Gaza, with more than 6,000 airstrikes and 50,000 artillery shells fired during the 51-day operation.  The bombings of residential buildings had especially dire consequences, wiping out entire families, with 551 children killed, a choked-up McGowen Davis pointed out to reporters. Hundreds of Palestinian civilians had been killed in their own homes, and the report provided heart-wrenching testimony from a member of the Al Najjar family who lost 19 of his relatives in an attack in Khan Younis on July 26, including his mother and all of his children. “We all died that day, even those who survived,” he said. Hamas welcomes report  Hamas meanwhile saluted the “condemnation” of Israel in the report. “Hamas welcomes the report’s condemnation of the Zionist occupier for its war crimes during the last war against Gaza,” said Hamas spokesman Fawzi Barhum.  In Ramallah in the occupied West Bank, a senior official from the Palestine Liberation Organisation said the report reinforces “our will to go to the International Criminal Court.”

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 The investigators voiced particular concern that a sense of “impunity prevails across the board for violations ... allegedly committed by Israeli forces, whether it be in the context of active hostilities in Gaza or killings, torture and ill-treatment in the West Bank.” EU launches navy operation against migrant-traffickers  The European Union launched a naval operation to try to stop human traffickers bringing migrants across the Mediterranean to Europe in unseaworthy boats.  More than 100,000 migrants have entered Europe so far this year, with some 2,000 dead or missing during their perilous quest to reach the continent. Dozens of boats are launched from lawless Libya each week, with Italy and Greece bearing the brunt of the surge.  The naval operation, which was officially launched by EU foreign ministers meeting in Luxembourg, will operate in international waters and airspace until the EU can secure a U.N. Security Council resolution endorsing its effort and permission from the Libyan authorities to enter their territory.  “The targets are not the migrants. The targets are those that are making money on their lives and too often on their deaths,” she said.  The EU aims to “dismantle the business model” of the traffickers by destroying their boats. But the U.N. has been slow to endorse the operation amid criticism from refugee groups that the move will only deprive migrants fleeing poverty and conflict of a major way to escape, rather than address the roots of the problem.  Libya’s divided factions have also been reluctant to approve any operation in its waters or on land, which means that the transition to more robust phases of the naval mission could take months. New U.K. rules will hit Indian nurses  Changes to British immigration rules will force thousands of nurses recruited by the National Health Service from non-European Union countries to leave the United Kingdom in the next two years.  Among those affected will doubtless be Indian nurses, who are the second highest non-EU nationality after Filipinos in the nursing workforce in this country.  Under the new rules, persons from outside the European Union should be earning £35,000 or more in order to be able to stay in the U.K. after six years.  In a study released at its annual conference in Bournemouth, the Royal College of Nursing said that 3365 nurses, whose training has cost the NHS £20.19 million, could be affected immediately by the rule. Tiny Island Okays same-sex marriage  Pitcairn Island, a tiny speck in the Pacific that’s home to just 48 people, has passed a law allowing same-sex marriage but has no gay couples wanting to wed.  First settled in 1790, Pitcairn is a British Overseas Territory that has some legal autonomy and is often considered the world’s smallest country by population.  Pitcairn Deputy Governor Kevin Lynch said the change was suggested by British authorities after England, Wales and Scotland legalised same-sex marriage last year. He said the law change was unanimously approved by the local council. NEW EUROPOL TEAM TO NAB TWEEPLE LINKED TO TERRORISM  Europol — the European Union’s law enforcement agency — has announced the formation of a police unit to track and nab key individuals linked to terror groups who produce thousands of tweets daily.  Europol’s direcor, Rob Wainwright, told The Guardian that the unit would scour the Internet for the ring leaders behind Islamic State’s (IS) social media propaganda campaign used to recruit foreign fighters and jihadi brides.  The unit is being formed in the backdrop of several young people being groomed and recruited in the UK and elsewhere through the internet.  The director added that the police team would be working with social media companies to identify the most important accounts operating in a range of languages.  The newspaper reported that the initiative was in part based on Scotland Yard’s counter-terrorism internet-referral unit. The new unit is part of European governments’ response to the attacks on the office of satirical magazine Charlie Hebdo in Paris in January. China blocks bid for U.N. action on Pak. over Lakhvi  India has taken up the issue of China blocking its move at the United Nations to seek action against Pakistan for releasing the 26/11 mastermind Zaki-ur-Rehman Lakhvi “at the highest level” with Beijing.  It is not clear how India’s reaction to Beijing was conveyed, but “highest level” points to the Prime Minister.  India’s bid to seek action against Pakistan was blocked by China on the grounds that New Delhi had not provided sufficient information.  This move comes a little over a month after New Delhi and Beijing agreed to deepen their commitment to fight terror, during Prime Minister Narendra Modi’s visit to the country.  A spokesperson for the Ministry of External Affairs said: “The government had taken up the issue of violation of the 1267 sanctions regime in respect of Zaki-ur-Rehman Lakhvi. Our concerns in this matter were conveyed to the Chair of the 1267 committee.  We also rose this bilaterally with the other members of the committee. In the case of China, this matter has been taken up at the highest level.”  Since December 2014, India’s Permanent Mission to the U.N. has filed separate proposals on Pakistan-based terrorists, each of which has been reportedly delayed or stopped by China. Weekly News and Analysis Byju’s Classes-9873643487 5 2015CA_017,018,019,020,021,022,023,024

 New Delhi said it has taken up the issue ‘at the highest level’ with Beijing

NATIONAL NEWS India’s food safety panel chief wants sweeping reforms  India’s food safety apparatus needs sweeping reforms to ensure that its norms are on par with international standards, including an accreditation system that not only screens labs but also its personnel on a regular basis, according to the head of a key panel of India’s national food safety authority.  •”It is time we wake up and work on a science-based approach and move forward rapidly,” Dr V Prakash, who chairs the scientific panel of the Food Safety and Standards Authority of India (FSSAI) on nutritional foods and dietary supplements, told.  “If we have periodical evaluation in aviation for pilots, why not for analysts who test our food?” asked the former director of the Central Food Technological Research Institute (CFTRI).  “If the Directorate General of Civil Aviation (DGCA) sets guidelines, all airports and flights have to follow them — it should be the same for food analysis laboratories,” he added.  Dr Prakash’s call for an overhaul comes after the FSSAI sought the recall of Nestle’s Maggi Noodles in the country following lab tests that showed unsafe levels of lead in some samples.  Dr Prakash has also called for more scientists to be involved in the regulatory system, as is the case in other countries such as the US. •”The system should be run by scientists with bureaucratic support and not the other way round,” he said.  Seeking an overhaul of state and central labs, Dr Prakash said reforms should cover testing standards, training of analysts, infrastructure, role of scientists in regulation, and the frequency of monitoring.  “India should not dilute the standards because many of our laboratories may not have advanced facilities for scientific analysis. We should be at par with international standards such as Codex,” said Dr Prakash, who headed the committee that standardised testing standards at the micro-level (parts per billion) for packaged water in 2008.  With no set standards in India for testing many types of food, including instant noodles and processed cheese items, Dr Prakash said: “Standards for different kind of pathogens, including chemicals, microbial toxins, heavy metals, residues of pesticides and herbicides and fungicides, need to be set, keeping in view the average daily intake of food.  These standards have to be modified from time to time with the food chain in view. None packaged foods and fresh foods… must be put on regular surveillance to bring hygiene in the food chain.”  Dr Prakash also called for state and central labs to be upgraded. “Analytical laboratories should not suffer because they are under states, and because the Centre has more money.  The state labs are short of analytical personnel and ill-equipped to perform to capacity as compared to private labs which are approved by FSSAI with the condition that they need to be accredited by NABL (the national accreditation authority for labs),” he said.  Dr Prakash said there was also a pressing need for the NABL system to have a separate slot for food testing laboratories instead of them being clubbed under chemical laboratories.  •”The testing for chemicals and for food is completely different. The matrices are different, the recoveries are different and extraction procedures are different. For instance, if you are testing for arsenic in soil and food, the analytical method could be same but the preparation of the sample for analysis can be completely different for soil and food,” he said. Election Commission suspends recognition of PA Sangma-led National People’s Party  In a first-of-its-kind action, the Election Commission suspended the recognition of the PA Sangma-led National People’s Party– a recognised state party in Meghalaya—for its “failure” to file the election expenditure statement for the 2014 Lok Sabha elections.  “Exercising power under para 16A of the Election Symbols (Reservation and Allotment) Order 1968, the Election Commission of India has suspended the recognition of the National People’s Party, a recognized state party in Meghalaya, due to its failure in filing the election expenditure statement of the party,” the EC said.  The EC stated that in pursuance of the Supreme Court’s judgement in the case of Common Cause Vs Union of India and others, it had issued instructions to all political parties, to file their election expenditure statement within 75 days of assembly elections and 90 days of Lok Sabha elections.  Since the elections to Lok Sabha, 2014, and elections to the Legislative Assemblies of Andhra Pradesh, Arunachal Pradesh, Odisha and Sikkim, 2014, were completed on May 28, 2014, the political parties were required to submit their election expenditure statements for these polls by August 26, 2014.  EC said, “It is the first case that recognition of a party has been suspended by the Commission under Election Symbols (Reservation and Allotment) Order 1968, for its failure to follow the Lawful directions of the Commission”. Two months after surgery of Lalit Modi’s wife, Rajasthan govt signed MoU with Lisbon hospital  The Rajasthan government signed a memorandum of understanding with a private Portuguese biomedical research organisation, the Champalimaud Foundation, to set up a state-of-the-art cancer institute in Jaipur, on October 2, 2014 — about two months after Lalit Modi’s wife Minal was treated at the Lisbon-based Champalimaud Center for the Unknown.  “The cancer centre will benefit the state hugely, particularly those who cannot bear hefty cost of treatment. The cooperation in this regard will also bolster relations with Portugal,” Raje had said in an official statement at the time.

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 “People suffer a major psychological blow when they come to know about this disease. For laymen, its cure is expensive.  A lot of people go to Mumbai and other places for treatment even though they cannot afford its cost and it is a very frightening experience for them. Now, after the opening of the cancer institute in Jaipur, they will get good treatment here.”  The foundation will provide training to selected service providers, technical support in identifying other centres in the state for Phase II operations, ensure implementation of advanced clinical procedures…,” a statement on the foundation’s official website states.  “In the state of Rajasthan, facilities equipped with modern linear accelerators in the public sector are available only in two divisions (Jaipur and Bikaner). Govt. pushes yoga’s universal appeal, Ministry releases book  As part of its effort to package yoga as a religion-neutral exercise and ensure maximum participation nationwide in the first International Day of Yoga programmes, the Union AYUSH Ministry released a book, Yoga and Islam, on its universal appeal and acceptance.  Published by the Muslim Rashtriya Manch, an RSS initiative, Yoga and Islam has as its main thrust the idea that yoga does not have anything to do with religion.  The book seeks to address apprehensions that minority communities have expressed over participating in the programmes.  It draws parallels between some yoga exercises and namaaz, stating that “namaaz is one sort of yoga asana”.  Earlier, the RSS weekly Organiser said in an editorial that yoga had nothing to do with religion. Bonus for lentils, higher MSP for paddy  To boost production of pulses during the kharif season, the Centre announced a bonus of Rs. 200 a quintal on the revised minimum support price for tur, moong and urad dal (lentils) for the marketing season of 2015-16.  The minimum support price for paddy was increased by Rs. 50 a quintal for the kharif marketing season of the financial year.  The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, decided to grant the bonus to encourage farmers to enhance the area under pulses cultivation and invest in increasing the productivity of the crop.  The Cabinet Committee approved the minimum support price, inclusive of bonus, for tur (arhar) dal at Rs. 4,625 a quintal for this year as against Rs. 4,350 last year; moong dal at Rs. 4,850 against Rs. 4,600; and urad dal at Rs. 4,625 against Rs. 4,350.  The minimum support price for the common variety of paddy was fixed at Rs. 1,410 a quintal against Rs. 1,360 last year and for Grade A variety, at Rs. 1,450 against Rs. 1,400. 20 million homes planned for urban poor  The Union Cabinet approved the launch of the “Housing for All by 2022” programme for the rehabilitation of slum- dwellers and promotion of affordable housing for the urban poor.  The target is to provide nearly 20 million houses over seven years.  The programme is a key promise in the Bharatiya Janata Party’s manifesto for the Lok Sabha election in 2014 — a “pucca” house for every family by the 75th year of Independence.  An official statement issued said a Central grant of an average Rs. 1 lakh would be available for a house under the slum rehabilitation programme.  But the State governments could exercise flexibility in using the grant for any slum rehabilitation project using land as a resource for providing houses to slum-dwellers.  “Under the credit-linked interest subsidy component, an interest subsidy of 6.5 per cent on housing loans availed up to a tenure of 15 years will be provided to economic weaker sections/lower income group (EWS/LIG) categories, wherein the subsidy pay-out on a net present value (NPV) basis would be about Rs. 2.3 lakh per house for both categories,” it said.  The Central government assistance of Rs. 1.5 lakh a house for the EWS category would be provided in partnership and for beneficiary-led individual house construction or enhancement.  Union Telecom Minister Ravi Shankar Prasad said that the “Housing for All” programme would be a Centrally sponsored scheme. Enabling clauses in IIM Bill offset by autonomy question  Though the Indian Institutes of Management Bill, 2015, does have several enabling provisions in making them more accountable, it leaves the question of autonomy in doubt.  The recommendations in the Bill, drafted by the Ministry headed by Smriti Irani, on display on mygov.in, are at variance with the recommendations submitted by them last year. The Bill, they fear, carries the trademark signature of overreach as is evident in some of the clauses.  For one of India’s best known global brands, the Indian Institutes of Management, a Bill framed by the Union Human Resource Development Ministry has brought in worries over autonomy. The oldest of these 13 institutes, the IIM- Ahmedabad, has expressed concern over some of the provisions of the Indian Institutes of Management Bill, 2015, which, it feels, will spell the end of autonomy.  Earlier, in an interview to the Mint newspaper, IIM-Ahmedabad Director Ashish Nanda said: “If the proposed Bill on Indian Institutes of Management is used to bring about centralisation of key processes, it would be bad news for these institutions and their autonomy.” Weekly News and Analysis Byju’s Classes-9873643487 7 2015CA_017,018,019,020,021,022,023,024

 “Previous discussions were about how to structure the degree in a management course, in place of the diploma awarded now,” Pankaj Chandra, former IIM-Bangalore Director, says.  The draft Bill seeks to do away with the special emphasis on the IIMs by seeking to declare certain institutes of management to be institutions of national importance to empower them to attain standards of global excellence in management, management research and allied areas of knowledge and to provide for certain other matters connected with such institutions or incidental thereto — the IIMs want the Bill to confine itself to them.  Also, the proposed Bill takes away the powers of the institutes to determine fees by Q1AAmaking it subject to prior approval of the government.  Lastly, the Bill states that in discharge of its functions, the IIM Board will be accountable to the government, whereas the IIMs envisaged accountability only with respect to legal compliance, financial stability and growth of the institutes.  Quite clearly, the last word is not out yet as public comments are still being sought before the government makes its next move. Govt. can’t be out of NJAC, says SC  The Supreme Court dismissed the idea of totally removing government participation in the appointment process under the National Judicial Appointments Commission, reasoning that there was no way other than banking on the government machinery to gather credible intelligence inputs on persons considered for judicial appointments.  The debate was triggered by counsel Anil Divan, who said the NJAC Act was flawed as the commission would be totally dependent on inputs from government departments.  Mr. Divan argued that for an agency to be independent, it should have an independent secretariat.  “But you have to trust someone. What if we remove the Executive from the appointment process? How will they [NJAC] get information? Only the government has the machinery to gather intelligence on the sensitivity, family, integrity, etc., of a person under consideration ... This is the fact, whether you like it or not,” Justice J.S. Khehar, who heads the five-judge Constitution Bench, told Mr. Divan.  Mr. Divan went on to point out that the NJAC Act did not spell out the criteria to select “eminent persons”. He wondered if “eminence” in the NJAC Act was the same quality the government had found in a person chosen to head the Film and Television Institute of India. Hong Kong reportedly drops scrapping visa-free facility for Indians  The Hong Kong government has reportedly dropped plans to scrap visa-free entry for Indians after representations from Indian officials and businessmen said such a move could seriously jeopardise businesses and tourism.  Recent media reports quoting public security officials in Hong Kong said that the former British colony was considering scrapping the programme for Indians in an effort to curb the number of asylum seekers.  However, Indian diplomats and prominent businessmen based in Hong Kong told that the local government has dropped the proposal after representations at the highest level stating that such a move could seriously jeopardise the trade, business and tourism flows from India.  A report in the Hong Kong-based South China Morning Post recently said the proposal to scrap the visa-free facility for Indians was mooted by members of the Liberal Party to curb the asylum seekers from India which registered sharp increase in recent months.  The financial drain caused by asylum seekers more than outweighed the economic contribution by Indian tourists, the statement said.  India is one of the very few countries which Hong Kong allows visa free travel and stay for 14 days.  Both Hong Kong and Macau continued with the policy even after they became special administrative regions of China in 1997.  The arrangement was continued for Indian nationals even without the reciprocal arrangement for the Hong Kong citizens who have to take visa to travel to India. India, Tanzania vow to fight terror  India and Tanzania will establish a joint working group to strengthen cooperation in counter-terrorism. Prime Minister Narendra Modi, following his meeting with the visiting Tanzanian President, Jakaya Kikwete, said both countries had a common interest in maritime security in the Indian Ocean and a peaceful and prosperous Africa.  “Terrorism in our respective regions is a concern for both countries,” Mr. Modi said. Underlining the areas of mutual cooperation, he said: “I offered our cooperation in the development of the potentially rich natural gas sector in Tanzania.”  An agreement on hydrography was described by the Prime Minister as an important step forward. “We are pleased to be a partner in the development of human resources, health care, agriculture, institutions and infrastructure in Tanzania,” he said.  India has announced e-tourist visa for the people of the African nation.  Among the MoUs signed by the two sides are a loan agreement between Exim Bank and the Tanzanian government on a line of credit for $268.35 million for extension of a pipeline project and cooperation in the field of hydrology, tourism and agriculture.  The Tanzanian President thanked India for its continued assistance to his country. BT Cotton responsible for suicides in rain-fed areas: study  The cultivation of Bt Cotton, a genetically modified, insect-resistant cotton variety, is a risky affair for Indian farmers practising rain-fed agriculture, says a latest study published by California-based agricultural scientists in the journal Environmental Sciences Europe. Weekly News and Analysis Byju’s Classes-9873643487 8 2015CA_017,018,019,020,021,022,023,024

 Annual suicide rates of farmers in rain-fed areas are directly related to increase in Bt Cotton adoption, say the scientists who are associated with the University of California, Berkeley, and the Centre for the Analysis of Sustainable Agricultural Systems, California.  Revisiting the raw annual suicide data for Andhra Pradesh, Gujarat, Karnataka and Maharashtra during 2001-2010, the authors found 86,607 of 549,414 suicides were by farmers, and 87 per cent were men with the numbers peaking in the 30-44 age group.  Total suicides per year per State were regressed singly on the averages of proportion of area seeded to rain-fed cotton, average farm size, cotton-growing area, area under Bt Cotton, proportion of area under Bt Cotton, and simulated average yield a hectare that includes the effects of weather.  Excluding the proportion of area seeded to rain-fed cotton, linear multiple regression shows suicides decrease with increasing farm size and yield, but increase with the area under Bt Cotton, the authors say.  The study is significant for two reasons. First, most cotton cultivation in India is rain-fed. Second, between 2002 and 2010, the adoption of Bt Cotton hybrid went up significantly to 86 45per cent of the total cultivated area of cotton in India, says the International Service for the Acquisition of Agri-biotech Applications.  Though cultivating the Bt Cotton variety may be economic in irrigated areas, the costs of the seed and insecticide increase the risk of farmer bankruptcy in low-yield rain-fed settings.  The study challenges the common assumption in economic analyses that cotton pests must be controlled to prevent monetary losses, thus encouraging Bt Cotton adoption.  The annual emergence of the key cotton pest pink bollworm in spring is poorly timed to attack rain-fed cotton and large populations of the pest fail to develop in non-Bt rain-fed cotton, the authors say.  This reduces, and usually prevents, the need for Bt Cotton and disruptive insecticides. The authors recommend that high-density short-season cotton could increase yields and reduce input costs in irrigated and rain-fed cotton.  Former Union Environment and Rural Development Minister and Rajya Sabha member Jairam Ramesh told that India, now being the second largest country in the world cultivating Bt Cotton could not afford to ignore the findings of this new study.  “These findings call for serious discussion relating to the GM crop’s long-term sustainability in Indian agriculture,” he said.  Veteran agricultural scientist M.S. Swaminathan said the merits of Bt Cotton adoption remained debatable as some had approved it for giving a better yield, while some questioned the claim. India stretches into the record books  Prime Minister Narendra Modi led India in breaking the Guinness World Record (GWR) for the largest number of people doing yoga at one venue — the stately Rajpath which he called “Yogpath” — on a day when 192 countries celebrated the first International Day of Yoga.  And, foreigners helped India clock a second record — that of the largest number of foreign nationals in a single yoga lesson with participation from 84 countries.  When he stepped up to address the gathering of yoga practitioners lined up on Rajpath — which has for 65 years been associated with the Republic Day parade showcasing the mosaic that is India — Mr. Modi’s first words were: “Had anyone ever even thought that Rajpath could become Yogpath?” Modi govt keeps Pakistan out of regional plans, signs pacts with other countries  The Modi government is changing the way it conducts its foreign policy, entering into regional pacts while leaving out Pakistan that New Delhi sees as a reluctant player in achieving Saarc’s goal of greater integration.  India has gone ahead and signed agreements on roads, ports, power and education with South Asian countries to build and strengthen ties, circumventing the Pakistan hurdle.  “For long it was a Pakistan-obsessed regional policy, for that matter foreign policy. Time has come to think out of the box and move ahead,” a government source said.  These plans were not just aimed at greater cooperation but had strategic intent as well, sources said, citing the example of Chabahar Port in Iran.  The signing of the BBIN (Bangladesh-Bhutan-India-Nepal) corridor agreement in the Bhutanese capital Thimpu on June 15 is a shot in the arm for Delhi’s regional plan.  A similar pact would be signed with Afghanistan in the coming months. The India-Myanmar-Thailand road connectivity plan would be completed by year-end and would eventually be integrated with the BBIN corridor, sources said.  “This will be a big boost to sub-regional connectivity and a major feat in India’s ‘Act East policy’,” an official said.  Pakistan had refused to sign a Saarc agreement on motor vehicle and rail connectivity at a summit in Kathmandu in November.  The underlining theme, sources said, was “Pakistan not holding up plans for greater regional integration” by letting neighbours join in when they want to.  Founded in 1985, the eight-member South Asian Association for Regional Corporation remains one of the least integrated groupings in the world.  Less than 5% of the region’s global trade takes place among member countries and less than 10% of the region’s commerce is conducted in the Saarc Free Trade Area.

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 India was encouraged by response from neighbours like Bangladesh and Nepal who would find sub-regional framework more helpful than fighting domestic political objection to signing “India-dictated” bilateral pacts, sources said.  India is finalising a tripartite transit agreement to allow Indian goods to enter Iran through Chabahar port on the country’s southeastern coast bordering Afghanistan. Goods will be moved through road and rail to Afghanistan as well as Central Asia.  “We have a container terminal at Mundra, which is some 550 nautical miles from Chabahar. It’s two days,” a shipping ministry official said.  Though it attended a meeting on plans for a dedicated Saarc satellite, Pakistan has not been too keen. Officials said the project, which aims to boost telemedicine and communication in the region, would meet the 2016 deadline.  But Pakistan, the second largest Saarc country after India, can hold back new initiatives of the grouping as the forum works with consensus. Afghanistan, Bangladesh, Bhutan, Maldives, Nepal and Sri Lanka are the other members.  India will also need Pakistan’s help for Afghanistan road plan. “Well, when things are moving quite well on the eastern front, we can hope things will fall in place on the western front too,” an official said. DHAKA Bus service begins  The first commercial bus service from Kolkata to Agartala through Dhaka started. It was flagged off in Dhaka during Narendra Modi's visit. New Kailash route boosts people-to-people ties  Under grey skies and a light drizzle, 43 Indians bound for the Kailash Mansarovar pilgrimage, crossed the India-China border at Nathu La, pioneering a pilgrim route, and adding another dimension to the Sino-Indian people-to-people contacts.  “It is a great historic day when both people are expressing their utmost confidence in each other thanks to [China’s] President Xi Jinping and Prime Minister Narendra Modi,” said Rajya Sabha member Tarun Vijay.Mr. Vijay is leading the pilgrims, who had queued up on the Indian side of the dizzying 4545-metre pass, before crossing over to the Chinese side.  A traditional welcome awaited the travellers as they cleared immigration at the pass. All the pilgrims were honoured at the pass with Kha Da, a traditional Tibetan white scarf, before they headed for the green buses which would take them for the pilgrimage. The entire distance of 1,500 km would be covered over three days.  “The new route is more comfortable, more convenient and much safer than the old ones. Instead of traversing days through tough terrain at high risk, you can now reach the sacred place by bus while enjoying the heavenly beauty along the way,” said Le Yucheng at a colourful but simple inaugural ceremony of the new route.  The Nathu La passage for the sacred site seemed to combine spirituality with Soft Power — an essential ingredient of India-China ties, which appear to be undergoing a rapid transformation.  The Chinese side also well understood the empathetic chord that was struck at a people-to-people level by the opening of the new route. “We on the Chinese side understand very well how Kailash Mansarovar features in the Indian mind and will do what we can to make the yatra a pleasant and memorable one,” observed Mr. Le, the ambassador.  The Indian side also stressed the link between societal ties, deepened by the new Kailash route, and a thriving Sino- Indian relationship. Maharashtra gets ‘State butterfly’  Maharashtra has become the first State in the country to have a ‘State butterfly.’  The BJP-led government has declared the Blue Mormon ( Papilio polymnestor ) as the State butterfly.  The Blue Mormon is a large, swallowtail butterfly found primarily in Sri Lanka and India, mainly restricted to the Western Ghats of Maharashtra, South India and coastal belts.  It may occasionally be spotted in the Maharashtrian mainland between Vidarbha and Western Maharashtra.  It is reportedly the second largest butterfly found in India, just smaller than the southern birdwing.  “No State in India has ever declared a State butterfly and the species has been one of the most neglected,” said a statement from the office of State Forest Department Minister Sudhir Mungantiwar, explaining the rationale behind the announcement.  Mr. Mungantiwar also seems to have considered the requests of butterfly academicians, research scholars and nature lovers who wished to see the Blue Mormon chosen.  Easily identifiable, the Blue Mormon boasts exquisite velvet-like black wings with bright blue spots. India moves to reset ties with Iran

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 India has begun to reset its ties with Iran, notwithstanding the uncertainty surrounding the negotiations between the Persian Gulf nation and the P5+1 (the U.K., China, France, Russia and the U.S.; and Germany) as the June 30 deadline for clinching a nuclear agreement draws near.  After cutting down oil imports from Tehran in the recent past following sanctions, India is now keen on pushing for connectivity with Iran, which will pave the way for its entry into Afghanistan and the Central Asian region.  An inter-government memorandum of understanding signed earlier for the development of the Chabahar Port in Iran, a recent visit by Foreign Secretary S. Jaishankar for Foreign Office discussions, and the impetus being given to the North-South Transport Corridor are perceived as attempts to mend ties.  New Delhi has also ignored cautionary voices from the U.S. not to rush into doing business with Iran till it firms up the nuclear deal with it.  After its meeting on June 12, members of the International North-South Transport Corridor (INSTC) reviewed the status of the dry run study between India, Iran and Russia via the Caspian Sea, a follow-up meeting to further streamline work related to the corridor has been scheduled for July.  The international transport corridor across Nhava Sheva (Mumbai) through Bandar Abbas (Iran) to Astrakhan (Russia) and Baku (Azerbaijan) is expected to substantially reduce cargo transport time between India and Central Asia and Russia.  Experts, however, point out that India must look beyond trade and economic ties. Aftab Kamal Pasha, Professor at the Centre for West Asian Studies, Jawaharlal Nehru University, said India must vigorously pursue relations with Iran with an eye on possible cooperation to fight the emerging terror groups in Central Asia.  “The disturbing developments in Afghanistan, the penetration of militants into Central Asia, and the continued expansion of IS in Iraq, all necessitate better India-Iran ties,” he said.  Former diplomat M. K. Bhadrakumar pointed out that India would need to work doubly hard to undo the damage caused by toeing the U.S. line.  He said despite the sanctions, India should not have allowed its relations with Iran to decline.  “There has to be a political outreach by India. If Australia could visit Iran, why not India? Before the sanctions, economic ties between India and Iran were growing exponentially,” he explained. ‘Chhattisgarh IIIT will be a catalyst of growth’  Union Minister of State for Power and Coal (Independent charge) Piyush Goyal inaugurated the newly built International Institute of Information Technology campus at Naya Raipur in Chhattisgarh and said it will become a catalyst of growth in IT and telecom sector.  “The institute will become a catalyst of growth in information technology and telecom sector in coming days. Not only in Chhattisgarh, but students from this institute will serve in the entire country,” he said at the opening ceremony.  Spread over 50 acres of land, the ultra-modern campus is jointly built by Chhattisgarh government and NTPC at a cost of Rs. 200 crore in the upcoming State Capital - Naya Raipur. Japan offers to fund Mumbai-Ahmedabad high speed rail corridor  India’s ambitious plan to construct the Mumbai-Ahmedabad high speed rail corridor reached a decisive stage , following the Japanese government’s offer to fund the Rs 988,050 million project at a low interest rate of 0.25% at meeting of the Indo-Japan Joint Monitoring Committee (JMC).  The Japanese government’s loan offer comes with the rider that 30% of the rolling stock for the project would be sourced from Japanese firms, sources said.  A financial rate of return (RoR) of 4% and an economic RoR of 12% has been projected on what will be India’s first high-speed rail line, which is estimated to have a daily ridership of 40,000 passengers.

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 From the initial estimated cost of Rs 650,000 million, the Japan International Cooperation Agency (JICA) — which recently completed a feasibility study on the line — has indicated a substantial cost escalation by factoring in components including price escalation during construction (estimated at Rs 172,212 million ) and interest during construction (estimated at Rs 115,709 million).  If work begins in 2017, the line can be completed in 2023 and made operational in 2024.  “China has also offered to fund the project. The political leadership will need to take a call on funding options,” a senior official said.

ECONOMY NEWS Mahindra expands JV to make airborne weather radars in India  Mahindra Defense Systems, a Mahindra Group company, and US-listed Telephonics Corporation announced a joint venture in India to manufacture the new RDR Series of Airborne Weather Radars.  The radars will be made at their Prithla facility near Delhi. This is the first airborne radar to be manufactured in the private sector in India.  The JV named MTIS, first established in 2013, used the aerospace and defence technology from Telephonics Corporation. Initial transfer of technology was for the manufacture of transducers used for both commercial and aerospace applications.  MTIS manufactured the first airborne weather radar assembly in March 2015," Mahindra Defence Systems said at the Paris International Air Show.  With the capability to manufacture airborne radars, MTIS has positioned itself to support the 'Made In India' mandate for the India aerospace and defence sector, the company said, while adding that Mahindras have established a "clear lead" compared to other Indian industrial groups in the aerospace and defence arena.  "MTIS continues to make significant progress in its charter to build an indigenous capability to support aerospace and defence programmes leveraging the advanced technologies offered by our partner Telephonics," said SP Shukla, Member of the Group Executive Board of Mahindra & Mahindra Limited and Group President, Aerospace and Defence. ADB to increase India lending by 50% to $12B by 2018  Asian Development Bank proposes to increase lending to India by almost 50 per cent to USD 12 billion by 2018, ADB President Takehiko Nakao said.  "ADB aims at increasing its sovereign and non-sovereign lending from the present USD 7 billion-USD 9 billion in three years from 2015 to 2017 to USD 10 billion-USD 12 billion between 2016 and 2018 using ADBs expanded lending capacity," he said.  "We are now targeting higher numbers... We will increase the numbers by about 50 per cent or little bit less but roughly we will try to increase lending to India by about 50 per cent," said the ADB chief.  ADBs annual lending capacity, he added, is expected to increase to as much as USD 20 billion a year from the current level of USD 13 billion based on the merger of its Asian Development Fund lending operations with its Ordinary Capital Resources balance sheet.  India's projected growth rate of 7.8 per cent for the 2015-16 fiscal is higher than China's estimated 7.2 per cent in 2015 calender year, he said.  He added: "ADB?s latest economic outlook for India published in March projects GDP growth of 7.8 per cent in FY 2015-16, rising to 8.2 per cent in the 2016-17.  "The strong growth outlook is backed by good macroeconomic indicators such as a decline in inflation and the current account deficit, and reforms to further open up certain sectors for foreign direct investment and reduce fuel subsidies. Efforts to expedite clearances for key infrastructure projects will also sustain growth momentum."  India's track record in repayment of loans, Nakao said, was very clean and ADB would be looking forward to increasing its exposure in infrastructure, skill development and urban services among others.  "So there are huge financing requirements. India has lot of potential," he said, adding "India is a good place to increase our lending".  ADB, he said, will focus on supporting the government’s new initiatives including Make in India, Skill India, Clean India (Swachh Bharat Mission), Smart Cities, and Atal Mission for Rejuvenation and Urban Transformation (AMRUT).  To scale up private sector participation in the skills regarding smart cities, he said, ADB will target cities in seven states where it has operations in the urban sector.  ADB will also support improvement of Indian Railways through investment projects in areas such as railway electrification, factories to produce locomotives and coaches, and modernising workshops, he added.  Recent ADB projects in Rajasthan include a USD 500 million loan to support urban development, a USD 176 million loan to expand metro rail in Jaipur, and a USD 300 million multi- tranche financing facility for solar energy transmission.  India is ADBs largest borrower. Since 1986 when ADB started lending operations in India, it has approved 189 sovereign loans totalling USD 31.3 billion. ADB has also approved 50 non-sovereign loans, equity investments, and guarantees totalling USD 3.6 billion. India has 4th Largest Ultra-High Net worth Households: Report  India is home to the fourth largest number of ultra-high net worth households that have more than $100 million (Rs 640 crore at 1 dollar = 64 rupees) in private wealth, according to a report.

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 Continued economic expansion of China and India was driving growth in wealth in the Asia-Pacific region, said the 'Global Wealth 2015: Winning the Growth Game' report by Boston Consulting Group.  The US remained the country with the largest number of ultra-high-net-worth (UHNW) households at 5,201, followed by China (1,037), the UK (1,019), India (928) and Germany (679) in 2014, it said.  India's ultra-high net worth households grew manifold from 2013 when the number stood at 284.  The private wealth in the Asia-Pacific region expanded by a steep 29 per cent in 2014 to reach $47 trillion, enabling it to overtake Europe (Eastern and Western Europe combined) to become the world's second-wealthiest region, the report said.  With a projected $57 trillion in 2016, the Asia-Pacific (excluding Japan) is expected to surpass North America (a projected $56 trillion) as the wealthiest region in the world and will be the largest pool for client acquisition.  The region is also projected to hold 34 per cent of global wealth in 2019. With a projected annual growth rate of almost 10 per cent, private wealth in Asia-Pacific will rise to an estimated $75 trillion in 2019.  Growth in wealth in the Asia-Pacific region was driven heavily by the continued economic expansion of its two largest economies China and India, the report said.  Private wealth in China and India also showed solid market gains driven mainly by investments in local equities, it said. China's equity market rose by 38 per cent and India's by 23 per cent, it added. Prabhu Urges G-20 Nations to Address LDC Concerns  Union Minister Suresh Prabhu urged G-20 countries to address the concerns of least developed countries, saying the poor suffer globally due to lack of opportunities.  Prabhu, who has gone as the sherpa of Prime Minister Narendra Modi to attend G-20 preparatory meeting in Turkey, posted on social networking site Twitter that the developed countries must create opportunities with their combined efforts for the people of poor nations.  "G20 (85 per cent global GDP) must address LDC concerns as poor globally suffer due to lack of opportunities, which G20 must create by combined efforts," Prabhu tweeted.  The Railway Minister chaired the emerging economies group meeting at the G-20 sherpa meet which was attended by China, Brazil, Russia, Argentina, Indonesia, South Africa among other countries.  Referring to the black money issue, he said, "Our PM mission of removing black money from global economy highlighted. We want automatic info share."  "Our PM wants youth employment, climate finance, clean energy access, infra finance, equitable global trade, G20 skill for our youth," he tweeted.  Prabhu, who has a deep understanding of global issues including energy, climate change and infrastructure, had also gone to attend G-20 meeting at Australia last year as sherpa of the Prime Minister. India to Ink landmark Motor Pact With Myanmar, Thailand:Gadkari  India is set to enter into another landmark motor pact with Myanmar and Thailand by year-end, on the lines of the one signed with three other SAARC nations to allow seamless flow of traffic among them, Union Minister Nitin Gadkari said.  Besides, a Rs 23,000-crore project for connectivity to Sri Lanka is on anvil.  Also, work on USD 8 billion road connectivity projects among Bangladesh, Bhutan, India and Nepal (BBIN) under Motor Vehicle Agreement (MVA) will be completed within two years, Road Transport and Highways Minister Nitin Gadkari said.  "The signing of the BBIN agreement may be seen in the larger context of similar agreement between the sub region and ASEAN.  "We will soon finalise India-Myanmar-Thailand (IMT) MVA as a trilateral arrangement. This is aimed at fostering better ties with neighbours and boosting trade and economy," Gadkari told reporters.  He added that this will enable seamless transit of passenger, cargo and vehicles among India, Myanmar and Thailand, paving the way for greater economic cooperation in the ASEAN region.  "There is a missing link of narrow corridor of about 22 km in connectivity to Sri Lanka which is presently being serviced through makeshif ferry service arrangement.  A proposal for providing road and rail link, bridging the divide across Palk Strait, has been posed to ADB for financing, he said, adding that this proposed project will be a combination of bridge and underwater tunnel.  "The underwater tunnel will allow unhindered movement of ships through the tunnel and the project is envisaged as a multi-sectoral and multi-modal project for inclusive growth and will strengthen people to people contact between the nations," he added.  Gadkari said all projects are aimed at fostering ties with neighbouring nations and give a boost to trade and business besides creating employment opportunities. Microsoft joins hands with Snapdeal, gets e-space for products  Microsoft has tied up with Snapdeal to launch an online store that would include full range of Microsoft products such as phones, tablets, PCs and software.  All the Microsoft products will be available on microsoft.snapdeal.com. “This unique, self-contained store built by Snapdeal will allow users’ accessibility of Microsoft’s unified portfolio of phones, tablets, PCs and Microsoft software,” said Tony Navin, senior vice-president, electronics and home, Snapdeal.  “The consumers are increasingly going online to shop for a number of things, including mobiles, tablets, laptops and software. We, therefore, see an opportunity in delivering Microsoft products and services through our online store. Weekly News and Analysis Byju’s Classes-9873643487 13 2015CA_017,018,019,020,021,022,023,024

Two panels to facilitate rollout  Centre agrees to full compensation for first three years  Union Finance Minister Arun Jaitley has approved the formation of two committees to facilitate the implementation of the Goods and Services Tax (GST) from next April.  A steering committee, chaired by the Additional Secretary, Department of Revenue, and the Member Secretary of the Empowered Committee of State Finance Ministers, will monitor the setting up of IT infrastructure for the GST network, the Central Board of Excise and Customs and other tax authorities.  The committee will monitor the progress of consultations with stakeholders such as trade and industry and the training of officers.  The other committee, chaired by Arvind Subramanian, Chief Economic Adviser, will recommend possible tax rates under the GST that would be consistent with the present level of revenue collected by the Centre and the States.  While making recommendations, the committee will take into account the expected levels of economic growth, the different levels of compliance, and the broadening of the tax base. The panel would assess the sector- and State-wise impact of the GST on the economy. States’ demand  Earlier this month, the States demanded that the Centre compensate them fully for any revenue loss due to the implementation of the GST for five years.  At the time, the Centre said such additional demands would make its rollout difficult. The Centre had agreed to full compensation for three years, 75 per cent compensation in the fourth year and 50 per cent in the fifth year.  The other issues that could potentially delay the rollout have to do with the tax on tobacco and tobacco products and the entry tax.  K.M. Mani, head of the Empowered Committee of State Finance Ministers, had said the States should be allowed to levy an additional sales tax on tobacco and tobacco products.  Some States have favoured abolition of the entry tax, while others have demanded that purchase tax not be merged with the GST. Nasscom and Symantec tie up to arm India’s cyber army  Addressing the need for cyber security professionals, Nasscom signed an MoU with cyber security firm Symantec to develop certified professionals. With this new initiative, Nasscom aims to take the number of cyber security professionals in the country from 63,200 to a million. Sector Skill Council (SSC) Nasscom and Data Security Council of India (DSCI) along with Symantec will focus on training and creating new job opportunities in the field of cyber security.  “The nature of threats is evolving every day. We need manpower to tackle the present day aspects of cyber security which includes conflict management, secure coding, legal issues among others,” said Dr. Gulshan Rai, National Cyber Security Coordinator.  “This partnership will enable the industry to map existing and future skills requirements and plug its demand-supply gap. It will also focus on developing pioneering models for scaling capacity and enhancing employability through assessments and certifications,” said R Chandrashekhar, President, Nasscom.  Symantec, with about 25 per cent of it global workforce based in India, would deliver hands on industry expertise to the candidates.  “This partnership with Nasscom is focused on building world class skilled and certified cyber security professionals in India. The initiative will also facilitate internships and placement of certified candidates, and is an extension in India of the Symantec Cyber Career Connection (SC3), a program launched last year to attract and train young adults and women in the field of cyber security. said Michael A. Brown, President and CEO, Symantec.  “Symantec will support four main parts of the program. First, scholarship for 1000 women undertaking the cyber security certification program. Second, curriculum development for five prioritised job roles in cyber security.  Third, development of internships with the goal of employment for certified trainees. Finally, opportunity for Symantec employees to be subject matter experts in this initiative,” said Brown. HDFC Bank launches 10-second personal loan disbursement  HDFC Bank will now disburse personal loans to its customers in just 10 seconds. With this product, existing customers will have a pre-approved loan amount available to them 24x7.  "The entire process to avail of the loan is completely paperless, and users can simply log into their bank account via net-banking or mobile banking and avail of this loan at a click," HDFC Bank said.  The bank claimed that it is the first institution in the retail lending space to completely automate the entire process of loan approval and disbursement.  "The 10-second loan is completely hassle-free and transparent and users will no longer have to wait for disbursement of funds, particularly in medical or other types of emergencies where there is an urgent need for cash," it said.  "Customer convenience lies at the heart of our digital initiatives and we have noticed growing demand from digitally- savvy customers to avoid paper-work and to accelerate processes,".  The 10-second loan is the latest initiative in HDFC Bank's digital banking offering christened 'GoDigital'.  This campaign began in Varanasi last year with the launch of its 'Bank Aap Ki Muththi Mein' offering, which literally converts the mobile phone into a bank branch. Since then the bank has launched a host of digital initiatives.

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SBI launches Online Forex Platform  Country’s largest lender State Bank of India said it has launched SBI eforex, an Internet- based platform that enables customers to book their foreign exchange transactions online.  The customers will be able to obtain forex rates without having to visit the branch, the bank said in a statement.  “The SBI eforex is an innovative platform incorporating robust security features and is designed to be user-friendly, fast and convenient,” it said.  “It is a highly flexible product offering the facility to the customers to customise and set their own limits for deal size, daily transaction limits. Details of all deals done are made available to the users on a real-time basis,” it said.  This is SBI’s second forex technology initiative, having launched SBI Fx Out, which enables customers to send foreign currency remittances from any its branches in India. World’s first electric passenger airplane is made in China, too  Chinese authorities have manufactured the world’s first electric passenger aircraft, news agency Xinhua reported.  The “BX1E” has a 14.5-metre wingspan and a maximum payload of 230kg. It can fly at an altitude of 3,000 metres, according to the report.  It can be charged within two hours, and can fly for 45 minutes to an hour at a maximum speed of 160kmph.  The plane was designed by the Shenyang Aerospace University and Liaoning general aviation academy in the northeastern Liaoning province.  According to the manufacturer, the aircraft can be used for pilot training, tourism, meteorology and rescue operations. Sovereign Gold Bonds: A fresh tool to curb import  The draft guidelines issued for the Sovereign Gold Bonds (SGBs) is the government second salvo as part of its plan to curb the import of gold.  In its budget proposal in February, the government had proposed the introduction of the Gold Monetisation Scheme (GMS), which was introduced a month ago and now the SGB is the second measure. Sovereign Gold Bonds » Proposed Sovereign Gold Bonds (SGBs) is part of government’s budget proposal along with Gold Monetisation Scheme (GMS) ______» While GMS proposes to ‘monetize’ India’s massive stock of physical gold, SGBs intend to convert the investment demand for physical gold into paper demand ______» If subscribed fully in the first year, SGBs could result in saving of $2 billion on gold imports at current prices ______ SGBs are to be linked to the price of gold, and issued by the central bank (Reserve Bank of India). It is proposed that banks, non-banking finance companies (NBFCs) and post offices will be able to collect money and redeem the bonds on behalf of the government.  The bonds are to be issued in denominations of two, five and 10 grams of gold with a minimum tenor of five to seven years.  “Any step that increases consumer choices and makes gold a fungible asset class is good. Our research confirms the growing interest among Indian consumers for interest-bearing gold-based investment products,’’ Somasundaram P.R. MD, India, World Gold Council, said.  “Unlike the GMS, where the primary objective is to ‘monetize’ India’s massive stock of physical gold, the SGBs scheme intends to convert the investment demand for physical gold into paper demand,’’ according to Sonal Varma, India economist at Nomura.  As with the Gold Monetisation Scheme, the interest rate could determine its success. “It is an excellent scheme and is a new alternative investment avenue while having ‘gold’ tagged to it and will surely gain popularity among investors,’’ Prithviraj Kothari, Managing Director, Riddhi Siddhi Bullions and Vice-President of India Bullion and Jewellers’ Association, told. Jindal fallout: Singapore will not offer bank info to India  Tax officials in Singapore have informed India that they will no longer share voluntarily any information on money laundering or related cases.  The decision was conveyed through official channels after Singapore’s Suspicious Transaction Reporting Office (STRO) took a bleak view of reports that appeared in the Indian media, citing Enforcement Directorate (ED) sources, about the alleged unaccounted overseas bank accounts of Congress leader and industrialist Naveen Jindal.  The information on the Jindals was shared by the STRO — the equivalent of the Indian Financial Intelligence Unit — without any reference from India.  Singapore authorities have conveyed to the Finance Ministry that the breach of confidentiality vitiates the informal collaboration arrangement on anti-money laundering measures among the FIUs known as the Egmont Group, of which both India and the island nation are part of.  The refusal could be costly since Singapore has emerged as an international financial hub to track flow of money into and out of India, both legal and illegal.  This April, ED sources had revealed that the agency had launched an inquiry against Jindal and his family for alleged violations of foreign exchange laws since they held four bank accounts at a Swiss private bank in Singapore. 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 “We received an input from Singapore’s financial intelligence unit about four accounts opened in 2010 in Bank Julius and Baer Company Ltd.  India allows residents of this country to spend up to $250,000 per person every year for capital or current account transactions. But information on the opening of bank accounts overseas has to be shared with the RBI.  The Jindal group has denied the accusation, saying they “have not received any notice or information from ED in this regard”.  The issue has flared up when there has been discussions on the propriety of India sharing publicly such information received from other countries like Switzerland and USA, too.  As a result of the stiff position adopted by Singapore, data on tax or bank-related issues from there can now emerge from it only if India supplies details and seeks affirmation, which considerably cripples the freedom of sleuths tracking economic offences in India. India slips to 61 places on Swiss money list; Pakistan 73rd  India has moved down to 61st place in terms of foreigners’ money in Swiss banks and it now accounts for a meagre 0.123 per cent of the total global wealth worth USD 1.6 trillion in Switzerland’s banking system.  While the UK and the US have retained their top two positions with the largest shares of the foreign clients’ money with Swiss banks, Pakistan has inched up to 73rd place.  Interestingly, just two big banks — UBS and Credit Suisse — account for nearly two-third of the total money kept by foreigners in Swiss banks, while their share in case of Indians is even higher at about 82 per cent.  As per the latest data released by Switzerland’s central banking authority SNB (Swiss National Bank), Indians’ money in Swiss banks declined by over 10 per cent to about 1.8 billion Swiss francs (USD 1.98 billion or Rs 12,615 crore) in 2014.  This is the second lowest level of Indian money in Swiss banks — after an increase of over 40 per cent in 2013 — and the latest data comes amid an enhanced clampdown against the famed secrecy wall of Switzerland’s banking system.  The funds, described by SNB as ‘liabilities’ of Swiss banks or “amounts due to the customers of banks in Switzerland” are official Swiss figures and do not indicate to the quantum of the much-debated alleged black money held by Indians in the safe havens of Switzerland.  Besides, SNB’s official figures do not include the money that Indians or others might have in Swiss banks in the names of entities from different countries.  In the top-ten, the UK and the US are followed by West Indies, Guernsey, Germany, Bahamas, Luxembourg, France, Jersey and Hong Kong.  The UK alone accounts for 22 per cent of total global funds in Swiss banks. Just four top nations together account for over half of all foreigners’ wealth in Swiss banks, which rose to 1.47 trillion Swiss franc (about Rs 102 lakh crore or USD 1.6 trillion) in 2014. . India Beats China as Most Favoured Emerging Market: BofA-ML  Global investors may have reduced their exposure to emerging market equities but India still continues to be the most favoured country, says a report.  According to global financial major Bank of America Merrill Lynch, global investors have reduced their exposure to emerging market equities amid weak earnings prospects, weak Chinese economic growth and a strong dollar.  India topped the global emerging market investors' country preference chart followed by China and Poland in the second and third place; respectively.Asia Pacific investors have increased their allocations to India and Taiwan in June.  "Despite having lost 14 per cent (in dollar terms) since January highs, India continues to be the most favoured country for GEM (Global Emerging Market) investors," BofA-ML said in a research report.  Other countries in the list included, Turkey, Indonesia, Mexico, Korea, Thailand and South Africa.  According to BofA-ML, the views on the Chinese economy, to a large extent, define investor views on emerging market equities. Moreover, China growth prospects have come down sharply since April. U.S. court notice to Sahara  A U.S. court has issued show-cause notice to the Sahara group in connection with a $350 million lawsuit seeking attachment of its two prized hotel assets — Plaza and Dream Downtown.  The lawsuit has been filed by Hong Kong-based JTS Trading Ltd, which had proposed to partner UAE-based Trinity White City Ventures and arrange loans from Swiss banking giant UBS to acquire the crisis-ridden Indian group’s three overseas hotels — Grosvenor House in London and the two in New York.  In the lawsuit filed with the Supreme Court of the State of New York against Trinity, Sahara and UBS, JTS has now alleged that Trinity cut it off from the deal for direct negotiations with Sahara.  JTS has also accused Sahara and UBS of having “aided and abetted” the UAE firm in breaching its “fiduciary duties” under their agreement. Only a few thousand pre-2005 notes left in circulation: RBI

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 “There are only a few thousand pre-2005 notes left in circulation. That is why the RBI is taking a proactive stance by asking individuals to go to the banks and exchange their notes,” said Alpana Killawala, Principal Chief General Manager, Department of Communication, RBI. Year of issue  According to the RBI, it is easy to distinguish the old notes from the new. The notes issued before 2005 do not have the year of issue printed on them while those printed after 2005 have the year on the reverse side of the note, at the bottom.  In addition, the newer notes have a security thread that runs alternately through the currency note with Bharat (in Hindi) and RBI visible on the thread.  The reason behind the phasing out of the old notes is that they have fewer security features than the new series, according to Ms. Killawala. Even internationally, central banks prefer to have notes of only a single series in circulation, she added.  The new security features are expected to help curb the menace of fake notes. SoftBank, Bharti, Foxconn form JV  Japanese telecom and internet giant Soft Bank Corp. along with Sunil Mittal’s Bharti Enterprise and Taiwan-based manufacturing major Foxconn Technology, announced a joint venture, SBG Cleantech, to promote adoption of clean and safe energy in India, which will be investing $20 billion to generate 20 GW (gigawatt) of solar power, billed as one of the biggest foreign direct investment (FDI) projects in the sector.  The JV will be led by SoftBank, while the other two will be minority partners. The equity structure is being worked out. 1 It is billed as one of the biggest FDI in the sector ______2 The JV, SBG Cleantech, will be led by SoftBank ______3 Centre is targeting generation capacity of 100 GW by 2022 ______4 SBG Cleantech to participate in 2015-16 tenders ______ SoftBank said that driven by ‘confidence’ in the Narendra Modi-led government, it was doubling its planned investment in India over the next 10 years to $20 billion.  “Prime Minister Narendra Modi asked us to invest not only in Internet space but also consider renewable energy sector. I had promised him, we will study the sector… I met the PM and Energy Minister and I got enough confidence to make commitment to set up minimum 20 GW of renewable energy,” said Masayoshi Son, Chairman & CEO of SoftBank.  “This could be the largest FDI into India. This is an endorsement of confidence in next generation India led by the Modi-government,” he added.  The company had, last October, announced investment of $10 billion in India over a 10 year period. I  n the past nine months, SoftBank has invested nearly $1 billion into Indian e-commerce and technology firms such as Snapdeal, Ola Cabs and Housing.com.  Under the National Solar Mission (NSM), Indian government is targeting solar power generation capacity of 100 GW by 2022. SBG Cleantech intends to participate in the 2015-16 round of solar power plant tenders under the NSM and state-specific solar programmes.  While the proposal is for a ten year period, Kameswara Rao, Leader, Energy, Utilities and Mining, PwC India, said if implemented today, it would equal 50 per cent of India's entire installed renewable capacity of 32,000 MW or it would be the size of entire power generation capacity of Greece or the Philippines.  The Japanese telecom and Internet major SoftBank Corp had in 2011 set up SB Energy Corp to develop clean energy projects following the Fukushima nuclear disaster in Japan. It is working on 20 such projects there.

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 On the opportunities in India, Mr. Son said, “India has two times more sun time than Japan and the cost of setting solar park here is half of what it is in Japan. Hence, it can become one the largest solar power in the world.” New overnight benchmark rate from July 22  India will adopt from July 22 a new method to set the overnight interest rate benchmark that will be based on traded levels instead of contributions from market participants, the board that will administer the rate said.  The new method, which follows an announcement by the Reserve Bank of India in 2013, will replace the current Mumbai Inter-Bank Offer Rate (MIBOR), and will be administered by the board of Financial Benchmarks India Pvt. Ltd. (FBIL).  The new benchmark will be called the FBIL Overnight MIBOR, and will be based on trade-weighted call money transactions conducted on Clearing Corporation of India’s trading platform between 9 a.m. and 10 a.m., the board said.  That will mark a contrast to the current MIBOR, which is compiled by polling market participants and is used to benchmark overnight pricing of call money rate in India. India, Brazil cross swords with U.S. at WTO  Switzerland and the U.S. have begun a campaign at the World Trade Organisation (WTO) to not renew a moratorium on ‘non-violation complaints and situations’ for intellectual property rights that expires at the end of the year.  Intellectual property laws are governed internationally by the Trade-Related Intellectual Property Rights (TRIPS) Agreement. The moratorium first came into being in 1995, when the WTO was born. And has survived by way of several extensions.  A non-violation and situation complaint can be raised against a WTO member when it undertakes a certain action which, while not violating WTO rules itself, denies another member an expected benefit by nullifying or countering another action or policy required by the WTO.  Introducing subsidies to undo the effect of lowered tariffs would be an example of an action that could potentially attract a non-violation complaint.  A proposal to continue the moratorium has been submitted by Brazil on behalf of a group of 19 countries that includes India and China. If the proposal is successful, the moratorium will continue after 2015, preserving the status quo.  If unsuccessful, however, it opens the door to a new world of possibilities and litigation as far as intellectual property is concerned.  Section 3(d) of the India Patents Act (1970) is likely to be a target of complainants, according to the Regulatory Affairs Professionals Society.  This section of the Act defines what an invention is, and has been interpreted by the Indian Patent Office to deny patents for drugs such as Sovaldi, a hepatitis C drug by Gilead Sciences, and Glivec, a cancer drug by Novartis.  The denial of these patents has significant benefits for access to affordable medication in India. It also has implications for the revenues of multi-national pharmaceutical companies and their incentives to innovate.

SCIENCE AND TECH India: ocean warming weakens monsoon  The summer monsoon has been showing a weakening trend over the past century with decreasing rainfall over large regions of the Indian subcontinent. The monsoon occurs because the land heats up much more than the ocean and the warm air over the land rises and results in low pressure.  This causes the rain-bearing winds from the relatively cooler ocean to blow on to the land and cause rainfall. That is, it is the strong thermal contrast between land and ocean that results in a strong monsoon.  However, a recent study by Dr. Roxy Mathew Koll of the Centre for Climate Change Research, Indian Institute of Tropical Meteorology, Pune and others, and published recently in the journal Nature Communications contends that this thermal contrast has been decreasing in the past decades, i.e., the land has been cooling and the ocean warming and the monsoon has shown a decreasing trend during the past century.  Ideally, under a global warming scenario the land temperature should increase greatly in the hot summers and serve as a strong monsoon driver. But, in the case of the Indian subcontinent, over the past century, that has not been the case.  Observed data dating from the 1870s are available for the summer monsoon rainfall, from the Indian Meteorological Department and other sources. Using the data from 1901-2012, it was found that the rainfall has been decreasing over central South Asia — from south of Pakistan through central India to Bangladesh.  The decrease is highly significant over central India where agriculture is still mostly rain-fed, with a reduction of up to 10-20 per cent in the mean rainfall.  Quite a few other studies indicate that the monsoon rainfall is weakening over the South Asian region during the past half century (since 1950s). Some of these studies suggest that though the extreme rainfall events have increased over some regions, the frequency of moderate-to-heavy rainfall events has decreased over the subcontinent.  The reduction in land-sea temperature contrast is attributed mostly to a strong warming in the Indian Ocean on a multi-decadal scale with the latest reason being climate change under a global warming scenario.  The surface warming in the Indian Ocean, especially in the western regions has reached values of up to 1.2 degrees C during the past century, much larger than the warming trends in other tropical oceans.

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 The decrease in the land-sea thermal contrast surface temperature trends (1901-2012) is also visible in the upper atmosphere, as the warming trends in the ocean surface are transferred to the atmosphere above through convective processes.  Apart from the ocean warming, a part of the decrease in land-sea temperature difference is also due to suppressed warming over the Indian land mass, possibly due to increased aerosol levels. Aerosols in the atmosphere reflect the sun’s heat back into space and cause a cooling effect.  The warming Indian Ocean also plays a role in weakening the monsoon circulation. Increased warming in the ocean enhances the large-scale upward motion of warm moist air over the equatorial ocean.  This enhanced upward motion over the ocean is compensated by subsidence of dry air over the subcontinent, inhibiting convection and rainfall over the Indian landmass.  This means that a warming Indian Ocean has resulted in surplus rains over the ocean at the cost of the monsoon rains over land, simultaneously drying the Indian subcontinent. The world's thinnest light bulb is made from graphene  Forget LED light bulbs... in the future, your lighting may be made from carbon. Columbia University researchers have built a light bulb chip that superheats graphene to produce illumination.  While that's the same basic concept that you see in an incandescent bulb, the graphene filament measures just one atom thick -- this is the world's thinnest light bulb, and may be close to being the thinnest possible. It's transparent, too, which could suit it to see-through displays.  The technology should have uses beyond lighting things up, too. Generating this kind of heat on a small scale could lead to "micro-hotplates" that heat up chemicals for the sake of studying chemical reactions.  Also, creating light at this scale is key to developing photonic processors that are much faster than conventional chips.  The light will need to switch on and off much faster for any computing uses, but it's a realistic possibility. Methane in Mars Meteorites Suggests Possibility of Life  Methane, a potential sign of primitive life, has been found in meteorites from Mars, adding weight to the idea that life could live off methane on the Red Planet, researchers say.  This discovery is not evidence that life exists, or has ever existed, on Mars, the researchers cautioned. Still, methane "is an ingredient that could potentially support microbial activity in the Red Planet," study lead author Nigel Blamey, a geochemist at Brock University in St. Catharines, Ontario, Canada, told Space.com.  Methane is the simplest organic molecule. This colorless, odorless, flammable gas was first discovered in the Martian atmosphere by the European Space Agency's Mars Express spacecraft in 2003, and NASA's Curiosity rover discovered a fleeting spike of methane at its landing site last year.  Much of the methane in Earth's atmosphere is produced by life, such as cattle digesting food. However, there are ways to produce methane without life, such as volcanic activity.  About 220 pounds (100 kilograms) of Martian meteorites have been found on Earth.  The scientists focused on six meteorites from Mars that serve as examples of volcanic rocks there, collecting samples about one-quarter of a gram from each — a little bigger than a 1-carat diamond. All the samples were taken from the interiors of the meteorites, to avoid terrestrial contamination.  The researchers found that all six released methane and other gases when crushed, probably from small pockets inside.  Chemical reactions between volcanic rocks on Mars and the Martian environment could release methane. Although the dry thin air of Mars makes its surface hostile to life, the researchers suggest the Red Planet is probably more habitable under its surface.  They noted that if methane is available underground on Mars, microbes could live off it, just as some bacteria do in extreme environments on Earth. Brightest early galaxy named after Ronaldo  Scientists have discovered the brightest galaxy in the early universe that contains the first generation of stars, and have nicknamed it after popular Portuguese football player Cristiano Ronaldo.  These massive, brilliant, and previously purely theoretical objects were the creators of the first heavy elements in history — the elements necessary to forge the stars around us today, the planets that orbit them, and life as we know it, researchers said.  The newly found galaxy, labelled CR7, is three times brighter than the brightest distant galaxy known till now. The name was inspired by 30-year-old Ronaldo, who is known as CR7.  Astronomers have long theorised the existence of a first generation of stars — known as Population III stars — that were born out of the primordial material from the Big Bang.  These Population III stars would have been enormous, several hundred or even a thousand times more massive than the Sun, blazing hot, and transient, exploding as supernovae after only about two million years. Widest survey  A team led by David Sobral, from the University of Lisbon in Portugal, and Leiden Observatory in the Netherlands, has now used ESO’s Very Large Telescope (VLT) to peer back into the ancient Universe, to a period known as reionization, approximately 800 million years after the Big Bang.  Instead of conducting a narrow and deep study of a small area of the sky, they broadened their scope to produce the widest survey of very distant galaxies ever attempted. 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 The team discovered and confirmed a number of surprisingly bright very young galaxies.  One of these, labelled CR7, was an exceptionally rare object, by far the brightest galaxy ever observed at this stage in the universe.  “The discovery challenged our expectations from the start, as we didn’t expect to find such a bright galaxy,” said Mr. Sobral.  Within CR7, bluer and somewhat redder clusters of stars were found, indicating that the formation of Population III stars had occurred in waves. Eve will talk to other devices, store data  Rohan Shravan, whose company Notion Ink is making Eve, a personal computing robot that understands the needs of its users and can fly like a drone, says this will be the first time artificial intelligence will itself be an operating system, rather than just being part of it, as was the case with Siri or Google Now.  Siri is a personal assistant that works on Apple’s mobile operating system iOS and Google Now works on Google’s Android platform.  Eve will be able to communicate with other smart devices, record every second of what it sees, and store humungous amounts of data. Mr. Shravan says Eve can be used for everything from asteroid mining to scanning the depth of the oceans for exotic creatures.  Two of the world’s largest tech companies, Microsoft and Intel, formed a partnership with the firm to provide their chips and software, respectively, to Notion Ink’s touch-enabled computing devices.  Mr. Shravan now sells the devices directly to 30 large enterprises, competing alongside Dell and Toshiba.  Notion Ink is now re-entering Apple’s home turf, by selling its Cain tablet in the U.S. market. Saturn’s moon Titan possesses lakes and seas  A study using data from the joint NASA and the European Space Agency (ESA) Cassini mission suggests that the Saturn moon Titan’s surface indentation is similar to creation of sinkholes on the Earth.  Apart from the Earth, Titan is the only body in the solar system known to possess surface lakes and seas, which have been observed by the Cassini spacecraft.  The team calculated how long it would take for patches of Titan’s surface to dissolve to create these features.  “We compared the erosion rates of organics in liquid hydrocarbons on Titan with those of carbonate and evaporite minerals in liquid water on Earth,” said Thomas Cornet of the European Space Agency.  “We found that the dissolution process occurs on Titan some 30 times slower than on Earth due to the longer length of Titan’s year and the fact it only rains during Titan summer.  Nonetheless, we believe that dissolution is a major cause of landscape evolution on Titan and could be the origin of its lakes,” Mr Cornet said. Rush for platelets as people ‘demand’ transfusion

 The spread of dengue has stoked people’s fears and there has been a considerable increase in the demand for platelet transfusions even when the infection can be managed without one.  This, doctors say, has led to an “artificial scarcity” of platelets, which is a vital blood transfusion component for the treatment of dengue.  To deal with such a situation, all major hospitals have put in place a protocol wherein transfusions are done only when the platelet count goes below 20,000 per cubic ml (unit volume, or the patient has clinical (visible) bleeding.  H. Paramesh, president of Paediatric Association of India, said a drop in platelet count is associated with every viral fever. “However, it is high in dengue. With proper management and monitoring in the hospital, the patient can recover even if the count drops up to 10,000, without transfusion,” he said. MOM completes 100th orbit around Mars  Mars Orbiter Mission (MOM) completed its 100th orbit around Mars . It is also gradually coming out of the blackout it had entered earlier this month, Indian Space Research Organisation (ISRO) has said.

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 The payloads on the spacecraft are to be re-started in a few weeks. They were last operated on May 27 to put the spacecraft in an autonomous mode.  MOM remains healthy and all its payloads are performing satisfactorily, ISRO said. Health data  “The spacecraft’s health data is now being received,” ISRO said, and added that the orbiter now had an elliptical orbit of 474 km and 71,132 km from the red planet.  Since early June, the Mars Orbiter Mission and Mars were moving behind the sun as viewed from the earth. Two-way signals were disrupted by solar activities.  Launched from Indian spaceport of Sriharikota on November 5, 2013, MOM reached the red planet in September last year and has outlived its planned mission life of six months in a Martian orbit. WHO agency says insecticides lindane and DDT linked to cancer  The insecticide lindane, once widely used in agriculture and to treat human lice and scabies, causes cancer and has been specifically linked to non-Hodgkin lymphoma, the World Health Organization said.  The WHO's International Agency for Research on Cancer (IARC) also said that DDT, or dichlorodiphenyltrichloroethane, probably causes cancer, with scientific evidence linking it to non-Hodgkin lymphoma (NHL), testicular cancer and liver cancer.  In a review of various agricultural chemicals, IARC's specialist panel said it had decided to classify lindane as "carcinogenic to humans" in its Group 1 category, DDT as "probably carcinogenic to humans" in its Group 2A class, and the herbicide 2,4-D as "possibly carcinogenic to humans" in its Group 2B.  It said epidemiological studies did not find strong or consistent increases in risk of NHL or other cancers from 2,4-D exposure, but there was strong evidence it induces oxidative stress, a process that can damage cells in the body, and moderate evidence it can suppress the immune system.  Lindane, which since 2009 has been banned or restricted in most countries under the Stockholm Convention on Persistent Organic Pollutants, was previously used extensively for insect control in agriculture. An exemption to the ban allows it to be used as a second-line treatment for lice and scabies.  IARC said high exposures to lindane have previously been reported among agricultural workers and pesticide applicators.  "Large epidemiological studies of agricultural exposures in the United States and Canada showed a 60 percent increased risk of non-Hodgkin lymphoma in those exposed to lindane," it said.  DDT was introduced for the control of insect-borne diseases during World War Two and was later applied widely to eradicate malaria and in agriculture.  Although most uses of it were banned from the 1970s, IARC cautioned that DDT and its breakdown products are "highly persistent and can be found in the environment and in animal and human tissues throughout the world".  "Exposure to DDT still occurs, mainly through diet," it said, adding that DDT is still used, mainly for malaria control in parts of Africa, although under very strict conditions.  Since it was introduced in 1945, 2,4-D has been widely used to control weeds in agriculture, forestry and urban and residential settings.  IARC said occupational exposure to 2,4-D can occur during manufacturing and application, and people in the general population can be exposed through food, water, dust, or residential application, and during spraying. Hidden galaxies discovered  Astronomers using the Subaru telescope in Hawaii found 854 nearly invisible galaxies in the Coma Cluster.  “These hidden objects are very large—some are roughly the size of the Milky Way—but extremely low density.  This new census is a notable increase in the population of the Coma Cluster, which is already a large galaxy cluster. It’s likely that other galaxy clusters could be hiding fluffy faint galaxies too. The Coma Cluster consists of at least 1,000 large, bright galaxies and a greater number of dwarf galaxies,” writes Matthew R Francis. A ‘smart’ insulin patch for diabetics  A 'smart' insulin patch that can detect increases in blood sugar levels and secrete doses of insulin into the bloodstream could replace painful injections for diabetics, scientists say.  Researchers at the University of North Carolina and NC State University, developed the patch — a thin square no bigger than a penny — which is covered with more than one hundred tiny needles, each about the size of an eyelash.  The study, which is published in the Proceedings of the National Academy of Sciences, found that the new, painless patch could lower blood glucose in a mouse model of type 1 diabetes for up to nine hours.  "We have designed a patch for diabetes that works fast, is easy to use, and is made from nontoxic, biocompatible materials," said co-senior author Zhen Gu, a professor in the Joint UNC/NC State Department of Biomedical Engineering.  For the study, Gu and his colleagues chose to emulate the body's natural insulin generators known as beta cells.

ENVIRONMENT Will India phase out fossil fuels as pledged by G7 NATIONS?  After G7 countries committed to phase out fossil fuel consumption by 2100 in Germany recently, is it time that India also pursued this goal?  While some climate experts argue that should be the case, others say that developed countries have a greater share of responsibility, which they haven’t lived up to as yet, and it is they that need to be pressured to do more. Weekly News and Analysis Byju’s Classes-9873643487 21 2015CA_017,018,019,020,021,022,023,024

 “The long-term goals for decarbonisation in the G7 communiqué are not matched by the pledges on emission reduction that they have tabled for 2020 and 2030,” senior economist Nitin Desai, a member of the Prime Minister’s Council on Climate Change, told.  Indrajit Bose, climate expert at the Third World Network, said that the G7 countries had shifted the goalpost to the end of the century which was “highly unambitious.”  “These countries should have cut fossil fuel consumption long ago. In fact, the latest Structured Expert Dialogue report released in Bonn, Germany, shows that 1.5 degree Celsius is the desired global average surface temperature we should be aiming for and even 2 degree Celsius is unsafe. For this 40-70 per cent reduction in greenhouse gas emissions are required by 2050, which won’t be achieved by pushing the goal to 2100.” No consensus yet  After the U.S.-China deal on climate change came through in November last year, there have been expectations that India too would commit itself to an emissions target.  But no consensus with regard to cutting fossil fuel consumption was reached at the United Nations Framework Convention on Climate Change (UNFCCC) sessions which concluded at Bonn, Germany.  No headway has also been made in determining India’s Intended Nationally Determined Contributions (INDC) for the 2015 Paris agreement. “Any decision on this front made by India would be keeping in mind our development and growth requirements,” he said.  Abhishek Pratap, senior campaigner (renewable energy) at Greenpeace India said that India’s coal consumption had not reached the same levels as China’s for it to commit to a peaking year as China did last year.  According to him, for India to be able to phase out fossil fuels it would require financial support from the $100 billion Green Climate Fund available per year till 2020. However, European countries are not willing to extend this assistance, on the grounds that India is a rich country. Experts recommend ways to improve Delhi's air quality  Experts made a number of recommendations to improve Delhi's worsening air quality at a day-long conclave.  The event was organized by the Delhi chapter of Indian Association for Air Pollution Control (IAAPC) to formulate short-term as well as long-term policy and solutions to improve the national capital's air quality.  "More people in Delhi should opt for neighborhood schools to reduce trip distance frequency. In fact, neighborhood schools can save 25 million liters of diesel costing Rs.160 crore," said social scientist Dhunu Roy.  "Similar energy saving exercises can be done for every sector like health, law and order, social justice etc." he said, adding that a ride sharing programme among the people of Delhi should be encouraged.  He further said carbon and energy intensity standards should be set up and carbon and energy intensity footprinting should be made mandatory for all government departments in the city, as well as corporations, firms, shops and establishments.  "Footprints should be attached to annual reports and audited statements which then may put them up on a website. It is desirable that energy and carbon footprints of each organisation reduce by three percent per annum," he said.  Another social scientist Sagar Dhara said a plan should be configured to switch over to solar energy and awareness about the ill-effects of pollution should also be highlighted, especially among the children.  "Cities must plan to configure themselves on the future energy source, solar energy. Discuss children's respiratory ailments and possible remedial action programmes on FM stations," he said.  Noting that Delhi was one of the most polluted cities in the world and it was seriously affecting the health of its citizens, secretary of IAAPC's Delhi chapter, Shyam Gupta said there was an "urgent need to formulate short-term as well as long-term policies and solutions."  However, Mukesh Sharma, architect of air quality index, recently launched by the government of India, blamed the multiplicity of authorities for lack of any action to curb pollution in Delhi.  "Various ministries playing a role in tackling this problem is making it very difficult. The ministry of environment is responsible for tracking and monitoring pollution; the ministry of health is supposed to give evidence of mortality and based on that evidence, the ministry of transport and industry is responsible for taking action on vehicular traffic," he said.  He further said that there was an urgent need to improve Delhi's mass transit so that people prefer to use it over their own vehicles. Paper Clip: The earth has turned greener  While the news coming out of forests is often dominated by deforestation and habitat loss, research published in Nature Climate Change (‘recent reversal in loss of global terrestrial biomasses) shows that the world has actually got greener over the past decade.  Despite ongoing deforestation in South America and Southeast Asia, the researchers found that the decline in these regions has been offset by recovering forests outside the tropics, and new growth in the drier savannas and shrub lands of Africa and Australia.  They developed a new technique to map changes in vegetation biomass using satellite measurements of changes in the radio-frequency radiation emitted from the Earth’s surface.  For the period 2003-12, the total amount of vegetation above the ground has increased by about 4 billion tons of carbon.

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 Global analysis shows losses of vegetation in many regions, particularly at the frontiers of deforestation in the tropics of South America and Southeast Asia. However, these rainforest losses had been offset by increases in biomass in other parts of the world.  For example, forests have spontaneously regrown on farmland abandoned after the fall of communism in Russia and neighbouring countries, while large-scale tree planting projects in China have measurably added to the global biomass.

PLACE IN NEWS Rare inscription of Biblical name found  Archaeologists have discovered a rare 3,000-year-old inscription of a name mentioned in the Bible, according to Israel’s antiquities authority.  The name Eshbaal Ben Beda, son of King Saul, appears on a large ceramic jar. However, archaeologists Yosef Garfinkel and Saar Ganor said that the jar belonged to a different Eshbaal, probably the owner of an agricultural estate.  They said that it was the first time the name was discovered in an ancient inscription.  It is also one of only four inscriptions discovered from the biblical 10th century B.C. kingdom of Judah, when King David is said to have reigned.  Archaeologists pieced together the inscription from pottery shards found at a 2012 excavation in the Valley of Elah in central Israel. N. Korea hit by worst drought in 100 years  North Korea says it has been hit by its worst drought in a century, resulting in extensive damage to agriculture.  The official Korean Central News Agency said the drought caused about 30 per cent of its rice paddies to dry up. Rice plants normally need to be partially submerged in water during the early summer.  South Korea’s Unification Ministry said precipitation in North Korea was abnormally low in May, and that food production could decline significantly if the shortage of rainfall continues.  North Korea suffered a devastating famine during the 1990s that is believed to have killed hundreds of thousands of people. Mumbai continues to be most expensive city in India: Survey  "It (Mumbai) has witnessed higher inflation over the last one year compared to other metro cities, higher cost of fuel, transportation, increased prices of food items, home services and rentals, impacting the cost of living," it said.  Mumbai, the financial capital of the country, held its position as the most expensive city in India and is ranked above Dallas, Frankfurt and Vancouver, according to a recent survey.  Luanda, the capital of Angola, has been rated the world's costliest city to live in, for third consecutive year, as per Mercer's 'Cost of Living Survey 2015'.  "India's most expensive city, Mumbai (at 74th place), climbed 66 places in the ranking due to its rapid economic growth, inflation and services basket and a stable currency against the US dollar," the survey has revealed.  Mumbai, the most populous city in the country, is followed by New Delhi (132nd place) and Chennai (157), which rose in the ranking by 25 and 28 spots, respectively. Besides, Bengaluru (183) and Kolkata (193), the least expensive Indian cities, climbed in the ranking as well, it said.  The survey includes 207 cities across five continents and measures the comparative cost of more than 200 items in each location, including housing, transportation, food, clothing, household goods and entertainment.  Asian cities dominate the top 10 costliest cities rankings along with major cities in Switzerland, it said.  Hong Kong (2), Zurich (3), Singapore (4) and Geneva (5) top the list of most expensive cities for expatriates, while Bishkek (207), Windhoek (206) and Karachi (205) are considered world's least expensive cities for expatriates, according to the survey.  Tel Aviv (18) continues to be the most expensive city in the Middle East for expatriates.  The survey also revealed that South Africa, UAE, the UK and USA are expected to witness the highest increase in the number of Indian international assignees. Delhi's CP world's 5th most expensive office location  Connaught Place, located in the heart of the National Capital, is the fifth most expensive office destination in the world, according to global property consultant CBRE.  Hong Kong (Central) tops the list of world's most expensive office markets list with an annual occupancy cost of USD 246.3 per sq ft, followed by London's West End, Tokyo's Marunouchi Otemachi, Beijing¿s Central Business District (CBD) and New Delhi's CBD.  "India continued to feature in the list of World's most expensive office markets, with New Delhi (Connaught Place CBD) moving up from 9th position to 5th position (with an overall occupancy cost of USD 183.30)," according to CBRE's semi-annual Prime Office Occupancy Costs survey.  A central location and excellent connectivity make New Delhi (Connaught Place- CBD) an attractive, albeit expensive, office market for corporate occupiers, the consultant said.  "In prime CBD Locations the supply of space is extremely limited with almost no new supply expected in the near future.  This is especially true for quality office space which has led to occupancy cost remaining high," CBRE South Asia Chairman and Managing Director Anshuman Magazine said. Weekly News and Analysis Byju’s Classes-9873643487 23 2015CA_017,018,019,020,021,022,023,024

 CBRE tracks occupancy costs for prime office space in 133 markets around the world.  The dominance of Asia-Pacific continued, with the region accounting for six out of the top 10 most expensive office markets.  San Francisco (Downtown) in US topped the list of largest increases in the occupancy cost year-on-year with 36.4 per cent rise. Chengdu is India’s gateway to western China  India is discovering Chengdu — a globally integrated economic hub — as a gateway to western China and cyber- connected parts of the Asia-Pacific.  “Since the western region of China is developing very rapidly, our presence in this region will be helpful to develop relations between India and China in different areas, especially in trade and economy, culture and tourism,” says Ashok Kantha, India’s Ambassador to China.  The Ambassador pointed out that given Chengdu’s location as a link with western, central, north-western and south- western China, India has decided to open a consulate in the city.  “It will be our endeavour to operationalise this consulate within the year 2015,” he said. The Chinese are opening a consulate in Chennai, in order to deepen engagement along the Bay of Bengal coastline.  The city is a first rate financial centre and a globally connected logistical hub. Chengdu’s Shuangliu International Airport is the fourth busiest in China.  An intricate rail network not only links the landlocked city to China’s coastal pivots of Shanghai and Guangzhou but also to Central Asia and parts of Europe. The first Chengdu-Europe international direct rail freight train started its Eurasian journey three years ago, routed through Poland.  Chengdu has also become the engine of China’s Western Development Programme — a strategic plan to develop inland China, following the dramatic success in building coastal China. e-visa facility  In tune with the initiative by the two governments to link people and businesses at the level of the States, provinces and cities, Mr. Kantha is optimistic that ordinary Chinese from Chengdu and its hinterland will take advantage of the e-visa facility for Chinese tourists that Prime Minister Narendra Modi had announced during his May visit to China. Fears after Islamic State group mines Syria's Palmyra  Islamic State group jihadists have mined the spectacular ancient ruins in Syria's Palmyra, an antiquities official and monitor said, prompting fears for the UNESCO World Heritage site.  The reports came one month after the extremist group overran the central Syrian city.  Syria's antiquities chief Maamoun Abdulkarim and the Syrian Observatory for Human Rights monitor said that the group had laid mines and explosives in Palmyra’s Greco-Roman ruins.  The Observatory, which relies on a network of sources on the ground, said the explosives were laid.  "But it is not known if the purpose is to blow up the ruins or to prevent regime forces from advancing into the town," said Observatory director Rami Abdel Rahman.  The ancient Syrian city of Palmyra is famed for its extensive and well-preserved ruins .  IS captured Palmyra, which is famed for its extensive and well-preserved ruins, on May 21.  The city's fall prompted international concern about the fate of the heritage site described by UNESCO as of "outstanding universal value".  Before it was overrun, the head of the UN cultural body urged that the ruins be spared, saying they were "an irreplaceable treasure for the Syrian people, and the world".

PERSONS IN NEWS For Correa, a city was much more than ‘brick and stone’  For him, a city could be blessed with the most beautiful physical attributes yet cease to be one. A ‘city’ was much more than ‘brick and stone,’ he noted.  It was a place where “people meet, where things happen, where ideas incubate” and a place “where urban skills grow.” In his own words, cities “have mythical and metaphysical attributes.”  These notions could well define the principle behind Charles Correa’s buildings — one that was sensitive to locations, climate, context and more importantly, people. With his demise, the world of architecture and urban planning has lost a visionary.  Often hailed as the greatest Indian contemporary architect, Mr. Correa passed away Recipient of numerous international and national honours, including the Padma Shri (1972) and Padma Vibushan (2006), Mr. Correa commanded a world-wide reputation for his designs.  Credited to him is a huge body of work which included national and global landmarks like the Gandhi Smarak Sangrahalaya in Ahmedabad, one of his earliest work at the age of 28, Bharat Bhavan in Bhopal, Jawahar Kala Kendra in Jaipur, the Ismaili Centre in Toronto, Champalimaud Centre for the Unknown in Portugal, the Permanent Mission of India in New York and the Handloom Pavilion in Delhi among others.  In the 1970s, he was also the chief architect of Mumbai’s satellite suburb, Navi Mumbai. Mr. Correa gave new heights to the “open to sky” concept of design while his contributions to low-income housing were also immense, exemplified by his sustainable “tube houses” in Ahmedabad which conserved energy taking into account the hot climate.  In a January 1996 essay, while eulogising the value of open space in a warm climate like India’s, he noted the practical benefits of open-to-sky spaces.” Weekly News and Analysis Byju’s Classes-9873643487 24 2015CA_017,018,019,020,021,022,023,024

 “To the poor in their cramped dwellings, the roof terrace and the courtyard represent an additional room, used in many different ways during the course of a day: for cooking, for talking to friends, for sleeping at night, and so forth. And for the rich, at the other end of the income spectrum, the lawn is as precious as the bungalow itself.”  In 1984, he founded the UDRI in Mumbai, dedicated to protecting the environment and improving urban communities.  Widely recognised as his most important international project, the Champalimaud Foundation Centre in Lisbon was described by Mr. Correa himself as a “Project to the Unknown”, a tribute to how humanity stretches into new frontiers.  Other significant projects include the new Ismaili Center in Toronto and the McGovern Institute of Brain Research at MIT, Boston.  He swore that he would never design a glass building, and believed in “open-to-sky” spaces. All his projects breathe this concept.  They are responsive to climate and people, with emphasis on plenty of light and air. Former CJI Madan Mohan Punchhi who differed with majority on collegium system passes away  Former Chief Justice of India Justice Madan Mohan Punchhi, who passed away at the age of 81, wasn’t exactly a fan of the collegium system of appointments to higher judiciary.  His death comes at a time when the Supreme Court is once again hearing a matter concerning appointments to higher judiciary, with the Parliament trying to bring the National Judicial Appointments Commission to replace the much- criticised collegium system.  His lecture comprised well-reasoned arguments on why the collegium system was against what the framers of the Constitution had in mind while deciding the issue of appointment of judges of the high court’s and the Supreme Court.  He had after all been part of the nine-Judge Bench that, on October 6, 1993, decided the famous Supreme Court Advocates-on-Record Association versus Union of India case, having delivered a dissenting view with regard to the primacy of CJI in matters of appointment.  In his dissent, he had quoted Dr B R Ambedkar’s speech in the Constituent Assembly to say, “I personally feel no doubt that the Chief Justice is a very eminent person but after all, the Chief Justice is a man with all the failings, all the sentiments, and all the prejudices which we as common people have and I think to allow the Chief Justice practically a veto upon the appointment of judges is to really transfer the authority to the Chief Justice which we are not prepared to vest in the President or the Government of the day. I therefore think that this is also a dangerous proposition.”  He then went on to say, “It is left exclusively to the Chief Justice of the Supreme Court or the High Court, as the case may be, to consult any number of judges on the particular proposal. It is equally within his right not to consult anyone.  This is his constitutional primacy and prerogative…Thus on the question of primacy, I conclude to say that the role of the Chief Justice of India in the matter of appointments to the judges of the Supreme Court is unique, singular and primal, but participatory vis-avis the Executive on a level of togetherness and mutuality, and neither he nor the Executive can push through an appointment in derogation of the wishes of the other.” India-Born Ex-Google Executive Nikesh Arora Appointed SoftBank President  India-born former Google executive Nikesh Arora has been appointed the president of Japan's telecommunications giant SoftBank Corp that paid the "rising star" a whopping $135 million (Rs. 850.5 crore at 1 dollar = 63 rupees) for the financial year 2014.  Mr Arora, 47, was appointed company president and chief operating officer at a general meeting of shareholders.  In a management reshuffle, Mr Arora - investments head at the time - was named as a potential successor to company chairman and CEO Masayoshi Son, as the telecoms conglomerate steps up its overseas expansion.  He was previously chief business officer at Google Inc, which he entered in 2004 as a telecom industry analyst before being recruited by Mr Son.  In less than a year at Softbank, Mr Arora has already directed about 200 billion yen ($1.67 billion) worth of deals that include investments in Indian technology start-ups - Snap deal, an online marketplace, and taxi-booking service Ola Cabs, Nikkei Business Daily reported.  Mr Arora has an MBA from Northeastern University, a master's degree in finance from Boston College and graduated as an electrical engineer from IIT-BHU (Indian Institute of Technology, Varanasi). Jazz and classical musician Gunther Schuller dies at 89  Gunther Schuller, a horn player, educator and Pulitzer Prize-winning composer who was the leading proponent of the Third Stream movement fusing jazz and classical music, died.  As a composer, Mr. Schuller wrote more than 200 compositions, including solo and orchestral works, chamber music, opera and jazz. His orchestral work, “Of Reminiscences and Reflections,” dedicated to his wife Marjorie Black, won the 1994 Pulitzer Prize for Music.  Mr. Schuller discovered a whole new musical world when he heard Duke Ellington on the radio one night while doing his high school homework.  Mr. Schuller’s newfound passion led him to frequent New York jazz clubs, where he became involved in the burgeoning bebop scene in the late 1940s.

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 Although French horn was rarely used in jazz ensembles, Mr. Schuller began his jazz career as part of trumpeter Miles Davis’ group that recorded the seminal 1949-50 “Birth of the Cool” sessions, which fused jazz and classical techniques.  During a 1957 lecture at Brandeis University, Mr. Schuller coined the term “Third Stream” to describe his vision of what would result if the two main streams of music in the U.S. got married and begat a child. Schuller and Lewis introduced their Third Stream compositions on two Columbia albums, “Music for Brass” and “Modern Jazz Concert” in 1957—58.  Mr. Schuller and Lewis also founded the Lenox School of Jazz in western Massachusetts, which brought over Coleman from the West Coast for its summer program in 1959 shortly before the free jazz pioneer made his history-making New York debut.  By the 1960s, Mr. Schuller had largely given up performing to focus on composing, teaching and writing. He served as president of the New England Conservatory in Boston from 1967-77, where he established the first degree-granting jazz program at a major classical conservatory and instituted the Third Stream department with pianist Ran Blake as its chair.  He also founded the New England Conservatory Ragtime Ensemble, which earned a Grammy Award for best chamber music performance in 1973 for the album “Joplin- The Red Back Book” and helped spur a ragtime revival. Mr. Schuller won two more Grammys for writing liner notes.  As writer, Schuller authored both educational works and jazz histories, including “Early Jazz- Its Roots and Musical Development” (1968) and “The Swing Era- The Development of Jazz, 1930-1945.” In 2011, he published the first volume of his autobiography, “Gunther Schuller- A Life in Pursuit of Music and Beauty.”  Mr. Schuller’s major orchestral works include “Symphony” (1965), “Seven Studies of Paul Klee” (1959) and “An Arc Ascending” (1996). He composed two operas- “The Visitation” (1966), based on a Franz Kafka story; and the children’s opera “The Fisherman and his Wife” with text by John Updike, derived from the Grimm fairy tale.  In 2008, Mr. Schuller was named a Jazz Master by the National Endowment for the Arts, the nation’s highest jazz honour. Earlier this year, the MacDowell Colony, a prestigious artists’ residence program, awarded him its lifetime achievement award “for setting an example of discovery and experimentation” as a composer and teacher. Titanic composer Horner no more  James Horner, celebrated composer of musical scores for several smash-hit movies, including Titanic and Avatar , died.  Hollywood trade magazine Variety reported the composer died when his private aircraft crashed in Santa Barbara, California.  Horner won two Oscars for his work on Titanic — one for its theme song My Heart Will Go On , performed by Celine Dion, and another for the film’s score.  He won Oscar nominations for the musical scores of several other box-office hits, including Apollo 13 , Braveheart and Field of Dreams . His first nomination came in 1986, for the sci-fi horror film,Aliens.  Horner’s most recent Oscar nomination was for another sci-fi epic, James Cameron’s 2009 blockbuster Avatar . With expansive and emotive soundscapes, Horner’s scores carried films to their climax and accompanied top actors as they delivered some of their most moving performances.  Tender kisses in The Amazing Spider-Man , grand battles in Troy and moments of stirring drama in A Beautiful Mind were all set up by Horner’s hand.  American film touchstones of the 1990s such as Patriot Games , Searching for Bobby Fischer and Jumanji were also composed by Horner. She took the legacy of Mother Teresa forward  Sister Nirmala, who succeeded Nobel laureate Mother Teresa as the superior general of the Missionaries of Charity, died.  Born in 1934 as Nirmala Joshi in Ranchi to a Brahmin family from Nepal, she converted to Christianity at the age of 24 and joined the Missionaries of Charity.  While Chief Minister Mamata Banerjee said Sister Nirmala’s “devotion and untiring work for ailing humanity will always remain an inspiration to all us,” Governor Keshari Nath Tripathi said that she carried out work with “exceptional passion.”  She was awarded the country’s second highest civilian order Padma Vibhushan in 2009.  Sister Nirmala had a master’s degree in Political Science and was a trained lawyer. “When she was elected superior general in 1997, many suggested that she be called Mother Nirmala. Her dedication to Mother Teresa was so much that she refused to associate mother to her name and remained Sister Nirmala all her life,” .  She took Mother Teresa’s legacy forward. “When Mother Teresa passed away on September 5, 1997 the organisation had 605 homes in 123 countries. Under Sister Nirmala the number of homes increased to 720 in 145 countries,” Ms. Kumar said.

AWARDS Photography award for Mizoman  A Mizo man has won the New York Press Photographers’ Association’s Photographer of the year award as well as top prizes in two other categories including Spot News.

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 James Lalropui Keivom was awarded the top prize for his photos capturing the Fergusson, Missouri riots that broke out after police shot dead an African- American. He also bagged the Spot News award for his photo of a man fleeing a gas explosion with his daughter in Staten Island. James, son of well- known Mizo author and retired bureaucrat L Keivom has worked with the New York Daily News for about a decade, the report said. Historian-author Ramachandra Guha to receive Japan's Fukuoka Prize  Guha's fellow winners this year are Thant Myint-U (Grand Prize) and Minh Hanh (Arts and Culture). Fukuoka Prize honours those who have made outstanding contributions to academia, arts and culture across Asia.  "Ramachandra Guha, a leading Indian historian, pioneered the new horizon of environmental history viewed from the general public's viewpoints. His works present thorough explanations of the complex history of India, a country with a great diversity of languages, ethnicities, religions, and castes. "  At the same time, his books vividly illustrate the actual state of the Indian democratic system, shedding light on our current multi-dimensional and chaotic world," Guha's citation says.  "In today's world, which is becoming increasingly diversified and chaotic amid advancing globalisation, Indian people's experiences in their modern history provide us with important lessons, as well as a ray of hope for the world's future.  Having served as a storyteller of Indian history, Guha is a truly worthy recipient of the Academic Prize of the Fukuoka Prize," it further says.

SPORTS Australian running legend Ron Clarke dies at 78  Clarke became a running legend in the 1950s and 1960s, during which he set 17 world records.  In 1956, he was chosen to light the Olympic flame during the opening ceremony for the Melbourne Olympics.  He won a bronze medal in the 10,000-metre event at the 1964 Olympics in Tokyo, but in all his years running he never won an Olympic gold.  He had been awarded the Order of Australia and honoured as a Member of the British Empire. India ranked 3rd in WADA's global doping report for 2013  India may be considered a sporting minnow but in terms of doping by its athletes, it has been ranked third behind Russia and Turkey in a World Anti-Doping Agency Report for 2013 with as many as 91 from the country testing positive for banned substances in that year.  According to the 2013 Anti-Doping Rule Violations Report released by the WADA on June 15, Russia has maximum number of dope offenders with 212 testing positive while the figures for Turkey and India were 155 and 91 respectively. Of the 91 Indians, 20 were women athletes.  France came a close fourth with 90 dope cheats in the report compiled by the WADA based mainly on the information received from National Anti-Doping Organisations (NADOs).  The comprehensive report, which dealt with testing of 207513 samples, covered 115 nationalities and 89 sports.  If the four non-analytical Anti-Doping Rule Violations (ADRVs) are taken into account, India has 95 ADRVs, fourth in the WADA list behind Russia (225), Turkey (188) and France (108). Russia had 13 non-analytical ADRVs, while the corresponding figures for Turkey and France were 33 and 18 respectively.  Non-analytical ADRVs refer to cases that do not involve detection of a prohibited substance by a WADA-accredited laboratory but instances like failure to submit to a test, possession, use or trafficking of a prohibited substance following an investigation by athletes and support personnel.  In all, 1953 athletes across the globe committed anti-doping rule violations out of which 1687 were actually caught for using banned substances while 266 violated other rules (non-analytical ADRVs).  Among sports disciplines, track and field athletes lead the Indian dope cheats with 30 (28 sanctioned after testing positive with two of them committing non-analytical Anti-Doping Rule Violations) out of a global total of 280.  Weightlifting comes second with 19 from the discipline caught for doping with nine wrestlers committing Anti-Doping Rule violation.  Other sports which contributed in the doping shame are powerlifters (8) and bodybuilding (8), judo (7), boxing (4), aquatics (2), cycling (2), kabaddi (2), cricket (1), football (1), taekwondo (1), volleyball (1). We won the bid honestly, says Putin  Russian President Vladimir Putin claimed that Russia had fought honestly for the right to host the 2018 World Cup and that the decision should not be called into question.  Swiss judicial authorities are probing the awarding of the 2018 and 2022 World Cups to Russia and Qatar, as part of a far-reaching corruption scandal that has also raised questions about the 2010 event in South Africa.  The head of FIFA’s auditing and compliance committee, Domenico Scala, warned that Russia and Qatar could lose the right to host the 2018 and 2022 World Cups if evidence is found of corruption in the bidding process.  Putin said that Russia supported the corruption probe currently unfolding at world football's governing body, but said it was “up to a court to decide if someone was guilty”. Serbia stuns Brazil to win U-20 WC  Nemanja Maksimovic scored a 118th minute goal on the counter attack to give Serbia a 2-1 victory over Brazil in extra time in the under-20 World Cup final at North Harbour Stadium.  In the earlier match for third place, Adama Traore produced two sensational long-range strikes to help Mali beat 10- man Senegal 3-1.

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Federer in Halle of Fame: Fedex trumps Seppi for record 8th title  Switzerland's double defending champion Roger Federer trumped Italian Andreas Seppi 7-6 (7/1), 6-4 to win an eighth title at the ATP Halle tournament.  The title was the 33-year-old Swiss world number two's fourth of the season after Brisbane, Dubai and Istanbul, and 86th of his career. It was also Federer's 15th career title on grass, coming just over a week away from Wimbledon, where he will be bidding to win an eighth time.  Federer's only defeats in Halle finals came against Australia's Lleyton Hewitt in 2010 and German Tommy Haas two years later.

OPINION Going all out for neutrino research  Just a few years ago, we witnessed how a national project, the India-based Neutrino Observatory (INO), which is to study fundamental particles called neutrinos, was subject to a barrage of questions from environmentalists, politicians and others ever since it was cleared.  The project, which involves the construction of an underground laboratory, was initially to be located in the Nilgiris but later, on grounds that it was too close to tiger habitat, was moved to a cavern under a rocky mountain in the Bodi West Hills region of Theni district, about 110 kilometres west of Madurai in Tamil Nadu. Reclaiming India’s position  India has been among the pioneers in neutrino research, the first of such laboratories having been established in the 1960s. We led neutrino research when our physicists used a gold mine at Kolar in Karnataka to set up what was then the world’s deepest underground laboratory.  This was called the Kolar Gold Field Lab. In 1965, it enabled researchers to detect atmospheric neutrinos. In 1992, when the mine became uneconomical, the laboratory was shut down.  With that, we lost our advantage in understanding the most mysterious particle in the universe. INO may reclaim this advantage and our global leadership.  Most of the advanced countries are already working vigorously in neutrino science with dedicated labs. These include the United States, Russia, France, Italy, China, Japan and South Korea.  India is set to not only join this league, but also become a key player in global efforts in neutrino science. The Magnetized Iron Calorimeter (ICAL) being set up at INO will be among the largest ever in the world, weighing over 50,000 tonnes.  In 2011, we visited the now much talked about Fermi Lab’s neutrino study laboratory. Located about 60 kilometres from the main city of Chicago, the laboratory has been pioneering some major work in understanding elementary particles including neutrinos.  In this laboratory — which is deep within the ground and accessible through a large elevator — we could witness the sense of pride among the staff for having such a facility for advanced particle study which could unravel the universe.  A professor said, “Fermi Lab is the pride for Chicago. We are happy to see Fermi Lab so close to the city — it makes it easily accessible to us and students.”  INO is designed to go much beyond Fermi Lab in some aspects of neutrino research; to us, this should be a moment of our national pride. Widely occurring particle  Neutrinos, first proposed by Swiss scientist Wolfgang Pauli in 1930, are the second most widely occurring particle in the universe, only second to photons, the particle which makes up light. In fact, neutrinos are so abundant among us that every second, there are more than 100 trillion of them passing right through each of us — we never even notice them.  This is the reason why INO needs to be built deep into the earth — 1,300 metres into the earth. At this depth, it would be able to keep itself away from all the trillions of neutrinos produced in the atmosphere and which would otherwise choke an over-the-ground neutrino detector. Neutrinos have been in the universe literally since forever, being almost 14 billion years old — as much as the universe itself.  Neutrinos occur in three different types, or flavours – ve, vμ and vτ. These are separated in terms of different masses. From experiments so far, we know that neutrinos have a tiny mass, but the ordering of the neutrino mass states is not known and is one of the key questions that remain unanswered till today. This is a major challenge INO will set to resolve, thus completing our picture of the neutrino.  Neutrinos are very important for our scientific progress and technological growth for three reasons. First, they are abundant. Second, they have very feeble mass and no charge and hence can travel through planets, stars, rocks and human bodies without any interaction.  In fact, a beam of trillions of neutrinos can travel thousands of kilometres through a rock before an interaction with a single atom of the rock and the neutrino occurs. Third, they hide within them a vast pool of knowledge and could open up new vistas in the fields of astronomy and astrophysics, communication and even in medical imaging, through the detector spin-offs.  While this should be a moment of joy, there is also some scepticism, partly arising due to the fact that the neutrino, though so abundant, is a silent stranger to most people. Public misconceptions

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 Can neutrinos cause cancer? Not at all! Neutrinos are the least harmful of all elementary particles, as they almost never react with solid bodies.  The mean free path for iron, or the average distance a neutrino will travel in say an iron rod, before interacting with an atom, is about 1 light year (9,460,730,472,580 km). Needless to say, with the human body being less than 2 metres in height, any harmful effect of neutrino is near impossible.  A few people with whom we have discussed this topic, tend to confuse the “neutrino” for the “neutron”. This has also led to the confusion that neutrinos can be weaponised, which is far from the truth.  The neutron bomb, which many discuss, is dangerous but has nothing to do with harmless neutrinos and is made based on a technology around the neutrons, particles which are much heavier. To put this in perspective, the mass of a neutron is 1.67x10-27 kg while the mass of a neutrino is of the order of 1x10-37 kg . Hence, a neutrino is about 17 billion times lighter than a neutron. The two are incomparable.  There is further misconception that laboratory generated neutrinos, fancily termed as “factory made neutrinos”, are more dangerous than naturally abundant neutrinos. Scientifically, this is not true.  Neutrinos are fundamental particles; there is nothing such as a natural and an artificial aspect to them. It is like saying that electricity at the same voltage, from a coal-based plant can give one a more severe shock than electricity produced by a hydroelectric plant.  What can understanding neutrinos give us? A lot, actually. Key role in science  First, neutrinos may have a role to play in nuclear non-proliferation through the remote monitoring of nuclear reactors. The plutonium-239 which is made via nuclear transmutation in the reactor from uranium-238 can potentially be used in nuclear devices by terrorist groups. Using appropriate neutrino detectors, the plutonium content can be monitored remotely and used to detect any pilferage. Neutrino research can be our answer to ensure that no terror group ever acquires nuclear weapons.  Second, understanding neutrinos can help us detect mineral and oil deposits deep in the earth. Neutrinos tend to change their “flavour” depending on how far they have travelled and how much matter they have passed through in the way.  Far more importantly, we believe that this same property might help us detect early geological defects deep within the earth, and thereby might be our answer to an early warning system against earthquakes. This is where an area of Geoneutrinos is applicable.  First found in 2005, they are produced by the radioactive decay of uranium, thorium and potassium in the Earth’s crust and just below it. Rapid analysis of these Geoneutrinos by neutrino monitoring stations — a process called Neutrino Tomography — could provide us vital seismological data which can detect early disturbances and vibrations produced by earthquakes. Data transmission  Third, as we now know, neutrinos can pass right through the earth. They may open up a faster way to send data than the current ‘around the earth’ model, using towers, cables or satellites. Such a communication system using neutrinos will be free of transmission losses as neutrinos rarely react with the atoms in their path.  This can open up new vistas for telecom and Internet services. Some scientists further believe that if there is any extraterrestrial form of life, neutrinos will also be the fastest and most trusted way to communicate with them.  Fourth, neutrinos are the information bearers of the universe — which are almost never lost in their path. India’s effort in studying neutrinos at INO may help us unravel the deepest mystery of the universe — why there is more matter than antimatter in the universe.  Some scientists believe that formidable neutrino research can help us understand dark matter. Dark matter and dark energy make up 95 per cent of the universe, far more predominant than ordinary matter in the universe — but we hardly understand it.  Neutrinos are the only way to detect this great mystery which may completely alter our understanding of the universe and physics. Searches for this dark matter can only be carried out in INO.  We believe that the neutrino is our mode of access to some of the most unimaginable technologies, and therefore, with INO, India is poised to take its rightful place at the helm of neutrino research. For example, the particle detectors developed for the neutrino experiment at INO can also be used to detect the photons in positron emission tomography (PET) which is used to identify cancerous tumours.  Hundreds of thousands of years ago, a species, Homo sapiens,went about rubbing two small rocks until they ended up producing the spark and then the fire which helped man master the planet.  Today, we stand at a point in time when we are on the verge of manipulating fundamental particles with the possibility that they may allow us to master the universe. The OROP struggle  Thousands of ex-servicemen converged on the national capital over the past weekend to protest against the delay on the part of the government in announcing a firm timeline for the implementation of the One Rank One Pension (OROP) scheme. Others have gone on a relay-hunger strike across the country, saying they would do so till their demand is met.  In the run-up to the 2014 elections and after, the Bharatiya Janata Party held out several assurances on OROP, raising expectations among the community of veterans.

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 OROP is meant to bring parity among retired military personnel based only on rank and tenure and irrespective of the date of retirement. As Prime Minister Narendra Modi accepted in his “Mann Ki Baat” broadcast, the government had underestimated the complexity of the process. One of the major concerns of the government as it works out the details relates to similar demands that could potentially come from the Central police and paramilitary forces.  The logic of OROP stems from the fact that unlike in other government services where the retirement age is 55, 58 or 60, in the military services a soldier retires around 35. So extending the scheme to non-military cadres will nullify its very rationale.  In order to pre-empt any legal issues in the future, the government is working to call it military pension, making it a provision that applies only to the armed forces.  Another issue relates to allocating finances for the immediate rollout phase and making the necessary provision for enhancements in future. Wary of any bid by the government to redefine OROP, veterans are demanding that it stick to the accepted definition.  The scheme, once implemented, is expected to benefit two and a half million ex-servicemen and women immediately. While the veterans’ anguish over the delay is understandable, they should appreciate the complexity of the process.  Also, with OROP being one of the BJP’s top election promises, commitment for its implementation had been reiterated at the highest level by Mr. Modi. The issue, pending for four decades, has seen more progress in the last one year than over the last few decades.  So while keeping up pressure on the government, it would be wise to give it room to work out the details. The government, on its part, should realise that these veterans fought for this country while in service, and it is indeed their legitimate right.  In addition, they represent a strong voter base, as the last Lok Sabha elections proved. This is pertinent as protesting organisations have announced they would agitate in Bihar, where Assembly elections are due this year.  The government should come out with a clear road map in the interests of the nation as well as its own. The existing mismatch between expectations and delivery could prove problematic in more ways than one. A looming refugee crisis  A new report by Amnesty International on the global refugee crisis should prove a wake-up call for the international community. ‘The Global Refugee Crisis: A Conspiracy of Neglect’ says the world is facing the worst situation on this front since the Second World War, with the number of people forcibly displaced from their homes exceeding 50 million.  It’s not really a surprise given the serial collapse of states in West Asia and Africa, and reports of persecution of vulnerable communities in several countries. What is more appalling is the apathy of the world’s powerful leaders towards this humanitarian problem.  The Amnesty report rightly says that the international community’s response to the refugee crisis has been “a shameful failure”. Syria is a case in point. More than half of its population has been displaced by a civil war, and some four million people have fled the country.  The burden is almost entirely on Syria’s neighbours such as Turkey, Lebanon and Jordan, while richer nations across the Mediterranean have turned a blind eye to it.  The European Union’s decision to limit rescue operations in the Mediterranean has led to a dramatic rise this year in the number of people who have drowned during boat journeys. The U.S., a country proud of its tradition of welcoming people from foreign lands, has accepted fewer than 1,000 Syrian refugees in the past four years.  The schemes of the United Nations High Commissioner for Refugees (UNHCR) that is meant to address the problem remain under-funded.  People flee their homes to escape desperate situations. If Syrians and Libyans are fleeing deadly wars, those from Myanmar and Eritrea are trying to escape long-standing persecution.  Resettling such vulnerable people is a global humanitarian obligation. But sadly, in the current world order this responsibility is not evenly distributed.  Powerful nations, which often send bombers to poorer countries to “solve” their domestic problems, as the North Atlantic Treaty Organisation did in Libya in 2011, are not as forthcoming when they face refugee crises and poverty.  At present, almost 86 per cent of all refugees are in the developing countries, which lack the infrastructure and resources to tackle the challenge. A more coordinated approach is needed to address the problem. Richer countries in the West and the Asia Pacific should find more room for refugees from stricken lands, in order to share the burden more equitably.  And, agencies such as the UNHCR that deal with millions of refugees should be sufficiently funded to fulfil their missions.  More important, there have to be more meaningful efforts, driven not merely by geopolitical calculations but by moral, humanitarian conviction, to solve the world’s crises. That could be the first step towards addressing the causes of the problem. Positive expansion  With the India Meteorological Department’s forecast putting the average seasonal rain for this year at 88 per cent of the annual long period average for the last 50 years, India is looking at consecutive drought-like years for the first time since 1987.

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 It is in this context that the NDA government’s proposal to extend the number of work entitlement days under the Mahatma Gandhi National Rural Employment Guarantee Scheme from 100 to 150 in drought-hit districts must be seen.  The decision to extend the number by 50 clearly stems from the concern that there would be greater demand for wage-related work in drought-affected districts. Considering that the government has been less keen than its predecessor in the implementation of the scheme, this move constitutes a change of heart.  After all, the Prime Minister only recently said in Parliament that his government would continue the scheme as a symbol of the failure of the Congress-led rule in tackling poverty, and reports recently suggested that the Ministry of Rural Development was keen to reduce the scope of the scheme to select blocks.  This newspaper had recently pointed to the curtailment in demand and lack of regularity in work allocation under the scheme over the past year, leading to a trend of fewer person-days being available to households.  Ground reports suggested this was mostly due to delayed payments and lower outlays by the government, in a sign of lack of enthusiasm for the scheme.  MGNREGS could bring relief to farm workers and labourers affected by the laying waste of cropland for the rabi cycle due to both unseasonal rain and deficient monsoon. This fact was acknowledged in a recent observation by the World Bank on MGNREGS as an effective substitute for lack of crop and weather insurance in India.  The government’s decision to extend the days of entitlement at this expedient hour must therefore be welcomed. That said, it is imperative that the government realised the importance of the scheme as a crucial intervention to spur the rural economy and alleviate poverty, and not just as a short-term or stopgap arrangement to alleviate distress — which in any case it does.  The record of success of MGNREGS since its launch in 2006 as a welfare initiative that empowers distressed rural households has been well-documented. Its weaknesses, in terms of the quality of assets created and leakages in implementation are also well-known.  The government has taken note of these and has promised better monitoring and setting of quality standards for work outcomes. While this is welcome, there needs to be a better focus on timely wage payments and demand for work under the scheme. Allowing judges to be judged  To place judicial performance beyond scrutiny would be as myopic as liberty without accountability.  If accountability of public officials is the very essence of a mature democracy, should it be extended to judges of the superior courts as well? If yes, on what yardsticks should performance be assessed? The debate is highly relevant today due to the Attorney General’s attack on the selection of a judge by the collegium on the grounds of his having delivered just seven decisions while a judge of the apex court. It has since been reported that the judge has authored more than seven judgments.  The question, however, is of the relevance of the argument.  The Constitution protects judges against the will of the masses, the will of Parliament, and the will of the central government. But it does not provide for the accountability of judges. It merely says that a judge can be impeached by Parliament on the grounds of ‘proved misbehaviour or incapacity’.  No judge has so far been impeached, in spite of serious charges of misconduct or corruption. Chief Justice of Madras High Court K. Veeraswami, his son-in-law and Supreme Court Judge V. Ramaswami, Chief Justice of Sikkim High Court P.D. Dinakaran and Justice Soumitra Sen of Calcutta High Court escaped impeachment despite serious charges of misconduct.  The lengthy and cumbersome impeachment provision is, thus, not an effective tool to ensure judicial accountability. What is misconduct?  In fact, judges hold office during what may be termed ‘good behaviour’ not only in India but also in the U.K. and the U.S. The Supreme Court in India has held that the word ‘misconduct’ is a relative term and would connote “wrong conduct or improper conduct”.  The Judges Enquiry Bill included wilful and persistent failure to perform duties within the definition of ‘misconduct’.  Though the writing of judgments is one of the core duties of judges, it is difficult to argue that writing fewer judgments must be construed as misconduct or incapacity.  Short of impeachment, we have not created any mechanism to make judges accountable or evaluate their performance. In the name of judicial independence, the Constitution thought it fit not to devise any scheme of scrutiny for judicial performance.  Under Roman law, a judge could be held liable for damages if he failed: to appear in court at the agreed time; to adjourn for just cause; to hear both sides equitably; to give judgment in good faith, without animosity or favour.  In Sweden, till 1976, judges were subjected to mild criminal sanctions for breach of duty, and the ombudsman could initiate action or even prosecute them.  Today, though the ombudsman’s criminal jurisdiction has been drastically curtailed, the authority of admonition is very much there. Denmark has had a Special Court of Complaints since 1939 to hear complaints against judges. Quality or quantity?  Judicial accountability is as important as accountability of the executive or legislature. Judicial accountability promotes at least three discrete values: the rule of law, public confidence in the judiciary, and institutional responsibility.

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 In fact, neither judicial independence nor judicial accountability is an absolute ideal. Both are purposive devices designed to serve greater constitutional objectives.  The apex court hearing the challenge to the National Judicial Appointments Commission (NJAC)should concede that while judicial independence is the basic structure of the Constitution, it is not an end in itself.  Coming to performance, the number of decisions given by a judge is immaterial. The question assessing the quality of judgments, on the other hand, has not received much juristic attention in India.  Many states in the U.S. have a ‘merit plan’ under which not only are judges appointed on merit but their continuance in office is decided on the basis of non-partisan elections. Some states such as Arizona, California and Utah have Judicial Performance Review Commissions or Councils, which consist of not only judges and lawyers but also lay persons.  New York and Alaska have a system of evaluation by trained court observers who make unscheduled court visits. Judges are evaluated on their knowledge of law, integrity, communication skills, sentencing, impartiality and so on.  The regular evaluation of judicial performance is a springboard for ensuring greater judicial accountability, but unfortunately we do not have any institutional mechanism yet to do this. Neither the executive nor the earlier collegium system has attached much significance to judicial performance when considering judges’ elevation to the apex court. Similarly, no performance evaluation is done for Supreme Court judges.  Ideally, leading national law universities in India should take up this job by at least publishing in their journals a critical evaluation of judgments. Lord Denning of England used to say ‘there is court superior to the House of Lords called the 'Law Quarterly Review’.  American judges too eagerly wait for the Harvard Law Review to see juristic response to their decisions. Our law schools could undertake this task, but these schools are headed by the Chief Justice of India and the Chief Justices of the concerned High Courts. A deplorable criticism  Against this background, the Attorney General’s criticism of a judge as inefficient is deplorable, as we have no system of evaluation in place.  It is common knowledge that our Supreme Court had some highly active and efficient judges like Justice Arijit Pasayat and Justice S.B. Sinha, who have written a record number of decisions. Similarly, there are judges who have written relatively fewer decisions such as Justice A.N. Sen and Justice Lokeshwar Singh Panta.  There have been other judges who have opted to merely concur rather than write their own opinions. In any case, an opinion written by a judge is shared with other judges on the bench and the inputs of concurring judges are not made public.  In fact, most judges have written judgments in less than 50 per cent of the cases they have heard. Many have written opinions in less than 30 per cent of cases. Nobody has ever called them inefficient.  While judgment writing is an important yardstick to look at the efficiency of a judge, it cannot be the sole yardstick to measure performance.  The condemnation on this ground of a former judge of the apex court and the present Chairperson of the National Human Rights Commission is in bad taste. Quality and not numbers should matter in judgment writing. And for this, it is important to first put in place some mechanism of judicial performance evaluation. HOUSING FOR INDIA  The cabinet approved one of the NDA’s flagship programmes — the Housing for All scheme, which aims to build two crore houses in urban India and four crore in rural parts of the country. The programme, which will subsume some of the existing schemes launched by the previous UPA government, has been tweaked, with a much more realistic realignment of the income cap to cover more households in urban areas and an increase in the unit size, coupled with a grant of Rs 1 lakh from the Central government.  Conceptually, this is a good and much-needed project, given the rapid rate at which the country is urbanising.  In urban India, it is the economically weaker sections and the low income groups, which earn between Rs 3 to 6 lakh annually, that account for 96 per cent of the housing shortage. That gap could well widen with the growing trend of migration from the hinterland to bigger cities and towns.  That’s why, of the 4,041 statutory towns that the programme aims to cover, the immediate focus appears to be on building affordable homes in the country’s top 100 cities. The scale of this housing mission also means that the government will have to work closely with the private sector.  But there are several challenges. Similar schemes have floundered in many states in the past, including UP, because of execution incapacities, lack of availability of land and resources. The government has provided Rs 14,000 crore in this year’s budget but questions remain about the funding of the project, which according to one estimate, works out to Rs 6 lakh crore.  Of greater concern is the ability of the states to push this scheme or better empower local civic bodies to deliver on housing.  Yet, housing can be a great trigger for growth. It was during NDA I that the seeds for the first housing boom of the last decade were sown with a package of tax incentives, coupled with deep interest rate cuts and competitive lending by institutions and banks.  Thankfully, Indian households today aren’t as leveraged as corporates, which should make it easier for the government to act more as a facilitator, leaving the choice to individuals or co-operatives on specific projects.

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 For Indian banks, their retail portfolios, which include a good chunk of housing loans, are far healthier, underlining the need for them to boost lending to this segment. Earlier this year, in the run-up to the polls, the Conservative government in the UK announced a financial top-up for first-time home buyers.  Spending on housing is not just good economics, but good politics, too. But for this government to reap the benefits, it has to switch to mission mode right now. Execution will be key. Hong Kong needs balance  The decision of Hong Kong’s lawmakers recently to vote down a proposal put forth by Beijing to reform the city’s electoral system was hardly a surprise. The plan, which would give Hong Kong’s voters the right to directly elect their Chief Executive (CE) but from a list of pre-approved candidates, triggered large-scale protests last year when it was announced.  Opponents say it is just another means for Beijing to retain control. Beijing’s explanation is that it is only doing what it promised to do at the time of Hong Kong’s transition from being a British colony to a special administrative region of China.  Under the Hong Kong Basic Law, adopted by China in 1990, the CE would be elected by universal suffrage in 2017; but a committee would supervise the nominations. Hong Kong had been a British colony for over 150 years till it was handed over in 1997.  All those years it was ruled by governors appointed by London. When the British withdrew, Beijing offered a semblance of democracy to Hong Kong under the ‘One Country, Two Systems’ principle.  In contrast to the British-style appointment of governors, the city’s CE is now elected by a 1,200-member committee of Hong Kong’s elite.  Those who support Beijing’s latest reform plan say it is a step in the right direction in Hong Kong’s evolving democracy, giving the people a chance to vote while not undermining Beijing’s authority.  But most politicians in the Legislative Council don’t seem convinced by this argument. They want an election process that is completely free of Beijing’s involvement. This position raises three questions. First, while the argument for full democracy that includes open nomination of candidates for the post of CE could appear to be politically correct, does it have the support of the Basic Law that the Chinese government says it is bound by?  Second, is it logical to believe that Beijing would agree to a government that is hostile to it being elected in Hong Kong?  And, is it possible in practical terms for Hong Kong to live in perpetual hostility with Beijing, which has grown into an economic and geopolitical powerhouse in the past three decades? Hong Kong’s dissenting politicians should show pragmatism in dealing with this situation.  On the other hand, China’s decision that it would go ahead with the reform plan despite the vote is imprudent. It cannot possibly overhaul the city’s electoral system without taking its people along; Beijing needs to avoid fractious outcomes given the city’s dominant mood.  There are objective conditions for both sides to give up their intransigent positions and make a deal that would be in the best interests of the financial and commercial hub that is Hong Kong. Going the e-payment way  The government’s proposal to incentivise electronic transactions in preference to cash dealings so as to curb black money is one of the most complete attempts made till now to achieve that end — although it is not entirely a new idea.  Earlier attempts, such as the UPA government’s Banking Cash Transaction Tax, sought to address the issue only at the bank level, ignoring the actual users of cash — the merchants and the public.  That tax, introduced in 2005 by then Finance Minister P. Chidambaram, stipulated a charge of 0.1 per cent on cash withdrawals above Rs. 10,000. However, it was messy: the somewhat arbitrary move that was also poorly implemented was repealed in 2009.  This government’s new proposal takes a more holistic approach to the cash economy, and as such is more likely to work. In a draft proposal now open for public comments, the government suggests income tax benefits for individuals who incur a certain proportion of their expenditure through electronic means, while proposing a nominal handling charge on cash transactions above a specified level.  The removal of the additional charge often levied on electronic transactions should come with this. As for merchants, the government proposes a tax rebate to those among them who handle, say, 50 per cent of their transactions electronically, and a small reduction in value added tax on the items involved.  At the moment the system discriminates against electronic transactions. Banks and service providers levy extra charges on them, while cash transactions are implicitly subsidised by banks, which do not factor in the cost of teller services.  Paper money comes with hidden overheads: the cost of printing and providing additional security features, and the price of counterfeit money.  Cash transactions and black money are directly linked, since a cash trail is nearly impossible to track. As such, electronic transactions and the ease of audit they afford should make the government’s job much easier in terms of curbing illegal transactions.  India is a massively cash-dependent economy, with its cash-to-GDP ratio being around 13 per cent as compared to a global average of 2.5 to 8 per cent.

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 Little wonder, then, that some experts estimate the size of India’s black economy to be at least half the size of the white economy. Commendably, this government seems to be taking a systematic view in working towards minimising cash-based transactions.  At the heart of it, even the Pradhan Mantri Jan-Dhan Yojana is aimed at providing direct, cashless subsidies to those who need them.  There are still more steps that could be taken, such as encouraging major cash-users, traders with large public dealings for example, to move on to electronic payment modes. But this proposal is undoubtedly a good beginning.

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WEEKLY NEWS AND ANALYSIS FROM JUNE 25TH TO 1ST JULY 2015

INTERNATIONAL NEWS Dutch govt. asked to cut emissions  In a sweeping victory for environmental activists that could have global repercussions, a Dutch court ordered its government to cut the country’s greenhouse gas emissions by at least 25 per cent by 2020 to help fight global warming.  The ruling by The Hague District Court was termed “a game-changer in the fight against climate change” by Greenpeace. Panama Leads the World Again in Overall Well-Being, as Revealed in New Report  New country rankings from the Gallup-Healthways Global Well-Being Index show that, for the second time since last year’s inaugural report, Panama has the highest overall well-being in the world.  The new report, “2014 Country Well-Being Rankings Report”, ranks 145 countries and areas based on the percentages of their residents that are thriving in three or more well-being elements.  The Americas have a strong presence in the ten countries with the world’s highest overall well-being, with seven countries on the list.  After Panama, rounding out the top ten are Costa Rica, Puerto Rico, Switzerland, Belize, Chile, Denmark, Guatemala, Austria and Mexico.  The five countries with the lowest levels of well-being are Tunisia, Togo, Cameroon, Bhutan and Afghanistan. In fact, in Afghanistan, no residents are thriving in three or more well-being elements, and none is thriving in purpose, social or financial well-being.  Globally, higher well-being has been associated with outcomes indicative of stability and resilience — for example, healthcare utilization, intent to migrate, trust in elections and local institutions, daily stress, food/shelter security, volunteerism, and willingness to help others.  The Gallup-Healthways Global Well-Being Index uses a holistic definition of well-being and self-reported data from individuals across the globe to create a unique view of societies’ progress on the elements that matter most to well- being: purpose, social, financial, community and physical. It is the most proven, mature and comprehensive measure of well-being in populations. Obamacare subsidies get Supreme Court’s nod  The U.S. Supreme Court sealed President Barack Obama’s legacy for achieving the farthest-reaching healthcare reform in the country’s history when it ruled that federal subsidies under the Affordable Care Act (ACA) could be made available to individuals in States, even if those States did not set up their own insurance “exchanges.”  The decision was based on a 6-3 opinion written by Chief Justice John Roberts, and joined by Justice Anthony Kennedy and liberal justices on the Bench.  The challenge facing the Court in the case of King v. Burwell was to determine whether it was legal for 6.4 million people in the 34 States using the federal marketplace to receive health-insurance subsidies even though those States did not create insurance marketplaces for such individuals to purchase their policies. ‘Affordable Care Act is here to stay’  President Barack Obama welcomed the U.S. Supreme Court’s decision to uphold the nationwide availability of tax subsidies that are crucial to the implementation of the President’s signature healthcare law.  “Five years ago...we finally declared that in America, health care is not a privilege for a few, but a right for all. The Affordable Care Act is here to stay... This is reality. This law is working,”  He added that as the law’s provisions gradually took effect since 2010, more than 16 million Americans have gained coverage.  If the partisan challenge to this law had succeeded, millions of Americans would have lost tax credits and financial assistance. “Insurance would have become unaffordable again, millions would have become uninsured again, and everyone’s premiums would have gone up. That’s not what we do, that’s not what America does. We go forward,” he said.  The President added that nearly one in three Americans who was uninsured a few years ago is insured today. “That’s something we can all be proud of.”  The Affordable Care Act’s authors said the words cited by the plaintiffs were likely to be a “drafting error,” and that Obamacare was meant to help people buy insurance regardless of whether they were using a State exchange or the federal site.

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 Yet, in writing the opinion of the court, Justice Roberts, who exercised the swing vote in the June 2012 decision upholding the ACA, said: “Congress passed the Affordable Care Act to improve health insurance markets, not to destroy them.  If at all possible, we must interpret the Act in a way that is consistent with the former, and avoids the latter.” Myanmar military retains veto after constitution change vote fails  A move to amend Myanmar's constitution to remove the military's legislative veto on key decisions fell short of the required 75 percent support in parliament, preserving the armed forces' powerful political role in the Asian nation.  The result was no surprise given that a quarter of the seats in the house are, by law, held by the military, which ruled Myanmar for half a century until 2011. The proposal aimed to trim the share of house votes needed to amend the constitution to 70 percent.  Another vote on a clause that effectively bars Nobel laureate Aung San Suu Kyi from becoming president also failed. The motion voted on would have only partially amended that article, however, meaning the 70-year-old democracy icon would still have been ineligible had it been passed.  Suu Kyi, whose National League for Democracy (NLD) won the last free election by a landslide in 1990 - a result ignored by the junta - cannot become president because her two children are British citizens, as was her late husband.  The NLD suffered persecution under the former junta and says the military's ability to shoot down changes to the constitution puts a limit on democratic reforms in Myanmar, where a general election is expected in November.  The NLD, which has a history of boycotting what it saw as flawed political processes inspired by the former military dictatorship, has yet to confirm whether or not it will run in the election.  Suu Kyi said the decision did not ride on the amendment vote and the party needed "to consider other problems too." Vatican recognizes state of Palestine; Israel irked  The Vatican signed a treaty with the “State of Palestine” , saying it hoped its legal recognition of the state would help stimulate peace with Israel and that the treaty itself would serve as a model for other Mideast countries.  Vatican Foreign Minister Paul Gallagher and his Palestinian counterpart, Riad al-Malki, signed the treaty at a ceremony inside the Vatican.  Israel expressed disappointment when the Vatican announced earlier that it had reached final agreement with the “State of Palestine” on the treaty regulating the life of the Catholic Church in the Palestinian territories.  It repeated that regret in a Foreign Ministry statement, saying the move hurt peace prospects and would discourage the Palestinians from returning to direct negotiations.  It warned that it would study the agreement “and its implications for future cooperation between Israel and the Vatican.”  The Vatican had welcomed the decision by the U.N. General Assembly in 2012 to recognize a Palestinian state and had referred to the Palestine state since. But the treaty marked its first legal recognition of the Palestinian territory as a state.  Mr. Al-Malki called the treaty an “historic agreement” and said it marked recognition of the right of the Palestinian people to self-determination, freedom and dignity in an independent state of their own, free from the shackles of occupation.”  The United States and Israel oppose recognizing the Palestinian state, arguing that it undermines U.S.-led efforts to negotiate an Israeli-Palestinian deal on the terms of Palestinian statehood. Most countries in Western Europe have held off on recognition, but some have hinted that their position could change if peace efforts remain deadlocked.  Israeli Foreign Ministry spokesman Emmanuel Nahshon called the treaty itself one-sided, saying the text ignored “the historic rights of the Jewish people in the Land of Israel and to the places holy to Judaism in Jerusalem.” EU reform talks won’t be over by 2017, says Cameron  The United Kingdom’s demand for reform and renegotiation of its membership of the European Union is “properly under way,” according to Prime Minister David Cameron, who on the day after the EU summit in Brussels tweeted that “significant progress” had been made.  The U.K. is seeking greater autonomy for itself as a condition for staying in the EU.  However, Mr. Cameron — who got 10 minutes to present his case before the summit — acknowledged that, realistically speaking, negotiations on the sort of reform that Britain is seeking cannot be completed by the end of 2017.  The Prime Minister had given end-2017 as the outer deadline for holding the in-out referendum that his party promised. Even assuming that Mr. Cameron gets the backing of 27 other countries on his demand (the U.K. itself is far from certain), the “legally binding and irreversible” treaty changes that he wants renegotiated is a very lengthy process.  Mr. Cameron’s core demands are: an exemption for the U.K. on the central EU principle of “ever closer union”; the sovereign right of Parliament to block EU legislation, and curbing EU immigration by withholding state benefits from migrants.  There are more general demands, not clearly spelt out, of protecting British business and safeguarding the City of London as a financial centre. Weekly News and Analysis Byju’s Classes-9873643487 2 2015CA_025,026,027,028,029,030,001

 There are deep reservations within the EU leadership over Britain’s demands. Many of these demands, it is argued, can be achieved within the current EU structure.  Donald Tusk, head of the European Council, who is overseeing treaty renegotiation, said at he summit that although there was a “will to help” Britain, there could be no compromise on the EU’s core values of labour mobility within the union and the right of an EU citizen to work anywhere.  Mr. Cameron must now convince Britain’s eurosceptics, especially those within the Conservative Party, that what he achieved in Brussels were real gains. Hard-fought victory for gay rights activists  In a once-in-an-epoch decision, the U.S. Supreme Court ruled that gay and lesbian couples across the country enjoyed a constitutional right to marry, and in doing so struck a blow for progressives in the “defining civil rights challenge of our time”.  The 5-4 decision guaranteeing the constitutional right to same-sex marriage under the 14th Amendment of the U.S. Constitution brings to an end, at least for the moment, a ban on such unions in 13 U.S. States and hands a historic victory to activists who have fought for years in the lower courts with mixed success.  In 37 States and the District of Columbia, courts already recognize marriage equality, a status quo that reflects a transformation in public opinion on the issue, and polls suggesting that most Americans now approve of same-sex marriage.  Writing the majority opinion, Justice Anthony Kennedy said, “No union is more profound than marriage, for it embodies the highest ideals of love, fidelity, devotion, sacrifice, and family… In forming a marital union, two people become something greater than once they were. India ranked best for investment  A ranking of destinations for attractiveness to foreign investors has placed India at the top among 110 countries.  China has secured the 65th position and the U.S. is at the 50th. In the 2014 index, India was at the sixth position and Hong Kong was number one.  The ranking is based on an index for baseline profitability that assumes that three factors affect the ultimate success of a foreign investment: how much the value of an asset grows; the preservation of that value while the asset is owned; and the ease of repatriation of proceeds from selling the asset.  The index combines measures for each of these factors into a summary statistic that conveys a country’s basic attractiveness for investment. Investment guidance  “Where exactly should they [investors] put their money? The Baseline Profitability Index (BPI) is back for its third year with some answers, and Narendra Modi’s India is the place to start,” wrote Daniel Altman, creator of the index and an Adjunct Professor at New York University’s Stern School of Business, in the Foreign Policy magazine.  “...economic growth alone doesn’t determine the returns to investing abroad; you have to worry about things like financial stability, physical security, corruption, expropriation by government, exploitation by local partners, capital controls, and exchange rates as well.  Putting all of these factors together gives a better idea of how big the return will be when it finally reaches your pocket,” he wrote.  The big story in the BPI in 2015 is “India coming out on top, with growth forecasts up, perceptions of corruption down, and investors better protected following the election of a government led by Prime Minister Narendra Modi.” High returns  A high ranking indicates high returns and improving economic institutions. The index, thus, compares how local policies and conditions affect the same investment in different countries. Or how the value of the principal and the return will change depending only on where the investment is made.  Local factors can erode profits. These include payment of bribes and kickbacks, the risk of which is compared across countries using the Transparency International’s Corruption Perceptions Index, a measure for the perceived levels of public-sector corruption worldwide.  India came first in the Baseline Profitability Index helped by its improved ranking in the Transparency International’s Corruption Perception Index — in 2014, the country was at the 85th position out of 175 countries as compared to its ranking of 94 out of 177 countries in 2013. World Bank index  BPI calculation also uses an index of investor protection compiled by the World Bank. In 2014, the average BPI score across all countries was 0.99; this year it is 1.03 — meaning the expected returns over the next five years are about three-quarters of a per cent higher a year.  The calculation of the BPI is an imperfect exercise fraught with assumptions, Mr. Altman says. Weekly News and Analysis Byju’s Classes-9873643487 3 2015CA_025,026,027,028,029,030,001

 “For example, how does a survey about perceptions of corruption translate into likelihoods of having to pay bribes, and how big might those bribes be?” he wrote when he first introduced the index. Big hurdles still remain in Iran n-talks  The six world powers seeking to negotiate an historic agreement with Iran to curb its nuclear programme plan to carry on negotiating beyond the June 30 deadline, a senior U.S. official said.  Officials from both sides said big differences still remained.  The negotiations aim to limit Tehran’s nuclear programme in exchange for a lifting of U.S., European Union and United Nations sanctions on Tehran.  The main differences are on the pace and timing of sanctions relief for Iran and on the nature of monitoring mechanisms to ensure Tehran does not cheat on any agreement. U.S. and European negotiators also want to ensure there is a mechanism for restoring sanctions if Tehran fails to meet its commitments under any future accord.  In November, the seven nations involved in the talks set a late March deadline for a framework agreement, which they ultimately reached on April 2, and a June 30 deadline for a comprehensive deal. Greece to shut banks, markets today to avoid financial panic  Greek banks and the stock exchange will be shut on 30th June after creditors refused to extend the country’s bailout and savers queued to withdraw cash, taking Athens’s standoff with the European Union and the International Monetary Fund to a dangerous new level.  Greece’s banks are on the front line as Athens moves towards defaulting on a €1.6 billion payment due to the IMF on 2nd July.  The ECB had made it difficult for the banks to open because it decided to freeze the level of funding support it gives the banking system, rather than increasing it to cover a rise in withdrawals from worried depositors.  Amid drama in Greece, where a clear majority of people want to remain inside the euro, the next few days present a major challenge to the integrity of the 16-year-old Eurozone currency bloc.  Meanwhile, U.S. President Barack Obama and German Chancellor Angela Merkel agreed that Greece needed to find its way back to a path of reform and avoid an exit from the Eurozone, the White House said.  Earlier, the Greek Parliament voted in favour of holding the referendum on July 5. Greek turmoil hits global markets  European bank stocks and borrowing costs for Italy, Spain and Portugal bore the brunt of financial markets’ fright at the growing risk that Greece will leave the euro.  The worst fall in shares for six months and a 30 basis-point rise in bond yields for other southern euro zone states was the start of an acid test of policy-makers' hopes that, if Greece does go, the rest of Europe is isolated from the fall- out.  Adding to the gloomy backdrop, China shares dived another 3 per cent, bringing the losses in the past two weeks to 25 per cent, with the Chinese central bank’s measures to support the economy failing to calm jittery investors.  By mid-morning in Europe, there were a number of voices arguing that the sell-off represented an opportunity to buy shares cheaply in markets into which the European Central Bank will pump billions of extra euros over the next year.  Greek Prime Minister Alexis Tsipras announced a referendum for July 5 to decide whether the country should accept or reject the bailout agreement offered by creditors. Greek crisis: Centre fears capital outflows  The Greek crisis could trigger some capital outflows from India, Union Finance Secretary Rajiv Mehrishi said. He said that the situation was dynamic and evolving and the crisis could have an indirect impact on India by way of its outcome on the European currency euro.  India is monitoring developments after the breakdown in talks between Greece and its creditors, he said.  The Union Government is in touch with the Reserve Bank which will take necessary steps to deal with the issue.  Reserve Bank Governor Raghuram Rajan had said that India’s economy was expected to be able to withstand any impact from the crisis in Greece thanks in part to its foreign exchange reserves, which reached a record high of $355.46 billion as of June 19. Greece debt crisis heads to a flashpoint: What happens now? WHAT IS HAPPENING? Five-year debt crisis heads to a flashpoint Why is everyone talking about Greece?  Greece’s current bailout package runs out on June 30, and it will most likely default on repaying the IMF € 1.5 billion, and another € 5.2 billion in short-term bills.  The European Central Bank (ECB) said that it would not expand the emergency loan programme that has been propping up Greek banks. But it did not cut off support entirely, keeping the banks alive.  If it goes bankrupt or decides to leave the Eurozone, the instability in the region will reverberate worldwide. How did Greece get to this point?  Greece became the epicentre of Europe’s debt crisis after Wall Street imploded in 2008. With global financial markets still reeling, it announced in October 2009 that it had been understating its deficit figures for years, raising alarms about the soundness of its national finances. It was shut out from borrowing in the financial markets, and by the spring of 2010, it was veering toward bankruptcy.

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 As a new financial crisis loomed, the troika troika’ of the ECB, IMF and European Commission issued, one after another, two international bailouts, totalling more than € 240 billion. But the lenders imposed harsh austerity terms, requiring deep budget cuts, steep tax increases, an overhauling of the Greek economy, streamlining government. So why didn’t things improve still?  The money was supposed to buy Greece time to stabilise its finances and quell market fears over the integrity of the Euro union.  But it mainly goes toward paying off Greece’s international loans, rather than making its way into the economy, which has shrunk by a quarter in five years. Unemployment is over 25%. The government can’t begin to repay its massive debt unless a recovery takes hold.  Many economists, and many Greeks, blame the austerity measures for their problems.  But creditors, especially Germany, blame Athens for failing to conduct the economic overhauls required under its bailout. They don’t want to change the rules for Greece. WHAT HAPPENS NOW?  Likely debt default, a referendum, maybe exit What happens in Greece today?  Should the ECB, which has capped emergency loans at € 89 billion, shut the tap completely, Greek banks would collapse and a Grexit would be inevitable.  Greece will almost certainly default on the nearly € 7 billion it owes in June. Eurozone officials have warned the nature of the standoff would change fundamentally once the bailout expires.  And yet, an IMF default — to which Athens owes € 1.5 billion — will not force Greece out of the Eurozone. How crucial is the July 5 referendum?  July 5 will in effect test whether Greeks want to stay in the Eurozone. Or Athens might want to check out if Russia or China might help if Europe won’t. Will leaving Eurozone benefit Greece?  While some of the world’s biggest financial services players believe Greece can adopt a new currency over time, no one expects the process to be painless or free of costs. Also, no one can predict the economy, if freed from the Eurozone, will flourish.  Bank of Greece has said Grexit might bring deep recession, huge joblessness and crashing incomes.  Greeks would lose savings, Greece could become an international credit market pariah, and political instability could bring a coup. What about Eurozone and the world?  Grexit will wreck the understanding that Eurozone is a club you don’t leave — and affect certain kinds of investors and companies.  What happens in Greece will have ripples. Spanish anti-austerity party Podemos is watching Tsipras’s gamble closely; Angela Merkel will be mindful of voter blowback to a debt writedown; anti-EU groups like France’s National Front and Britain’s UKIP will be able to say more vocally that integration can never work.  If Greece leaves the Eurozone, it can be expected to be less cooperative with Europe over taking on the migrant surge from North Africa and West Asia.  If Athens drifts towards Moscow, it will unlock a whole new set of geo-political circumstances — and complications — for the West.  Finally, though the chances of Grexit triggering a domino are slim, a contagion could hit countries like Ireland and Portugal. IS has declared ‘war on Britain’, says Cameron  In his first public statement since the terrorist attack in the seaside resort of Sousse in Tunisia, which killed 30 British tourists and injured many more, Prime Minister David Cameron said his government was preparing a “full spectrum” response to the massacre.  The Islamic State (IS) group represents an “existential threat”, he said, and the fight against it is “the struggle of this generation.”  The Prime Minister said Islamic terrorists “have declared war on Britain and they are attacking our people at home and overseas.”“ They are attacking our way of life and what we stand for, and so we have to stand united with those that share our values.” India, Thailand to sign double taxation avoidance treaty  India and Thailand will sign a double taxation treaty and an MoU for setting up an Ayurveda Chair in one of the Thai Universities during the three-day visit of External Affairs Minister Sushma Swaraj.  The Minister will be the guest of honour at the inaugural ceremony of the 16th World Sanskrit Conference, where she will deliver her speech in Sanskrit. Over 600 scholars from 60 countries will participate in the five-day conference.  Ms. Swaraj will co-chair India-Thailand Joint Commission meeting during which the two countries will sign a double taxation avoidance treaty and exchange instruments of ratification on the extradition treaty signed between them in 2013. Greece on the brink  The Alexis Tsipras government pleaded for a short-term bailout extension to avert a midnight default as frantic efforts gathered pace to salvage a deal that could keep Greece in the euro, with Germany warning that time had run out to extend vital credit lines. Weekly News and Analysis Byju’s Classes-9873643487 5 2015CA_025,026,027,028,029,030,001

 European Commission President Jean-Claude Juncker appealed to Athens to accept the deal proposed by international creditors last week while holding outs hopes that some extra tweaks could still be possible.  Leftist Greek Prime Minister Alexis Tsipras, who has called a referendum to vote on the bailout terms, responded with a counter-proposal, requesting a two-year deal covering funding support and debt restructuring, an issue the lenders have so far been reluctant to tackle.  If no agreement is reached, Greece will default on a loan to the IMF, setting it potentially on a path out of the euro with unforeseeable consequences for both the European Union’s grand currency project and the global economy.

New case marks Ebola’s return to Liberia  Liberian authorities quarantined the Nedowein area where the corpse of a 17-year-old boy was found with Ebola, sparking fears this West African country could face another outbreak of the disease nearly two months after being declared Ebola-free.  The area is not near Liberia’s borders with Sierra Leone and Guinea, neighbouring countries that still have Ebola cases.  The World Health Organization declared Liberia Ebola-free on May 9, after it went 42 days without a new case. Liberia had been hardest hit before by the outbreak with a death toll of more than 4,800 people.  The World Health Organization and the U.S. Centers for Disease Control have been meeting with health officials about the new case. IRAN MEETS KEY OBLIGATION ON WAY TO NUKE DEAL  Iran has complied with a key condition of ongoing nuclear talks by significantly reducing its stockpile of enriched uranium that could be used for atomic weapons.  Its failure to do so would have severely undermined the U.S. and other powers trying to clinch a long-term nuclear accord with Tehran over the next several days.  Uranium can be used to generate energy, or as the fissile core of a nuclear weapon, depending on its enrichment level.  Under a preliminary deal reached in November 2013, Iran agreed to cap its stockpile of lower-enriched uranium at a little more than 7.6 tons and transform any remainder into a form that experts say would be difficult to reconvert for arms use.  Although amounts were permitted to fluctuate, Iran had to fully comply by June 30, 2015.  And as of only a month ago, the U.N. nuclear agency reported its stockpile at more than 8 tons, leading to fears that it would not meet the target.  Iran's compliance will show that Tehran met the requirement to render harmless any additional uranium it has enriched over the last 20 months, thus taking its stockpile back to an acceptable level.  The negotiators hope to clinch an accord curbing Iran's nuclear program for a decade in exchange for tens of billions of dollars in relief from international economic sanctions.  But significant disagreements persist, not least over the level of inspections on Iranian sites, how quickly the West will roll back sanctions, and what types of research and development Iran will be permitted to conduct on advanced nuclear technology. Weekly News and Analysis Byju’s Classes-9873643487 6 2015CA_025,026,027,028,029,030,001

NATIONAL NEWS Cabinet nod for six new IIMs  The Union Cabinet cleared the proposal for the setting up of six new Indian Institutes of Management (IIMs) in the country, which will start offering courses from the coming academic session.  The new IIMs will be located at Visakhapatnam (Andhra Pradesh), Bodh Gaya (Bihar), Sirmaur (Himachal Pradesh), Nagpur (Maharashtra), Sambalpur (Odisha) and Amritsar (Punjab).  Each institute will start with an intake of 140 students for the post-graduate course, the flagship programme of the IIMs, admission for which will be through Common Aptitude Test (CAT) exam.  “It is expected that the annual intake will increase to reach a level of 560 students by the end of seven years,” an official release from the government said. HC ruling not in sync with Supreme Court order  The Madras High Court’s judgment allowing a man found guilty of raping a minor to “settle” the matter through mediation raises several disturbing questions about the way in which higher courts approach issues relating to women and gender.  In 2014, the Supreme Court observed that rape was a non-compoundable offence and not a matter for compromise between the parties.  Yet, the Madras High Court, in its judgment, goes one step further by proposing an alternative dispute resolution mechanism apparently geared toward a “happy” resolution through marriage.  Kavita Krishnan, secretary of the All India Progressive Women’s Association, says the judiciary needs more checks and balances than are currently available.  “This one case was reported by chance, but it is clear that this kind of thinking still exists in our judiciary — the idea that issues such as rape can be sorted out through compromise or through marriage.  When judges are selected, more than just an exam, they need to be quizzed on their views with regards to women and to minorities. And checks have to take place to ensure that those who occupy the office don’t hold such views,” she says.  Former Additional Solicitor-General Indira Jaising says the Supreme Court has repeatedly said that there should be no compromise on rape cases and the Madras High Court has obdurately refused to follow that directive. What the High Court proposes, she says, is worse than a compromise.  “This kind of bleeding heart for a rape survivor is misplaced sympathy for her and absolution for the rapist. Worse still, to do so in the name of the religions of the world displays an inability to distinguish between good and evil,” she says. Ms. Jaising says the Supreme Court must suo motu intervene and stop the “mediation”. Socio Economic Caste Census: In villages, one in three households in poverty; over a fifth SC/STs  Nearly one in every three rural households still have an uncertain source of income and continue to live in one-room kutcha houses, according to the findings of the first national Socio Economic Caste Census (SECC).  Officials told that these households — 31.26 per cent of the 17.91 crore rural households covered by the census — will now be considered as ‘poor’, and eligible for benefits applicable to Below Poverty Line (BPL) families. Of the rural households covered, 21.53 per cent belonged to scheduled castes and tribes, they added.  “It is assumed that households in which the main earner has an uncertain income source and who live in kutcha houses will be BPL; thus 31.26 percent has been officially pegged as the outer limit of poor in rural areas,” a ministry official said.  The figures examined are based on data compiled till 2013 for the census that was launched in June 2011 to identify households below the poverty line and ensure better targeting of government schemes.  The SECC, which takes caste into account for the first time in any such exercise since 1931, covered 24.39 crore households across income lines nationally.  In terms of state-wise data for households whose main earner’s income is less than Rs 5,000 a month and live in one-room kutcha houses, Madhya Pradesh has emerged the poorest with 24 per cent of rural

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households identified as “poor”, followed by Chhattisgarh at 21 per cent and Bihar at 19 per cent.  Ministry officials said the credibility of the census lay in the fact that there were adequate checks and balances, including publication of draft reports and public scrutiny at the gram sabha level.  For data on rural households, the census was distributed across three categories: those that have to be compulsorily excluded; those that have to be compulsorily included; and those that fall in-between – they were then ranked based on seven deprivation criteria (see table).  Information was collected on a range of parameters at the individual and household levels like occupation, education, disability, religion, SC/ST status, name of caste/tribe, employment, income and source of income, assets, housing, possession of consumer durables and non durables and land owned.  Those that were automatically included were households without shelter, destitute living on alms, manual scavengers, primitive tribal groups and legally released bonded labourers. This figure has been pegged at less than 1 per cent.  The automatically excluded category included 39.4 per cent of the total rural population and included households with any of the following: motorised vehicles, mechanised agricultural equipment, Kisan credit card with credit limit of Rs 50,000 and above.  They also included households with any member as a government employee, with non-agricultural enterprises registered with the government, any family member earning more than Rs 10,000 a month, those paying income/professional tax, living in houses with three or more rooms with all having pucca walls and roof, owning a refrigerator, landline phone, possessing irrigated land, etc.  The findings of the census are similar to that of the Rangarajan committee, a technical expert group set up by the UPA government in 2012. The panel had found that the percentage of people below the poverty line in 2011-12 was 30.95 in rural areas and 26.4 in urban areas.  The Rangarajan report stated that those spending less than Rs 32 per day in rural areas would be considered poor.  This was in contrast to the Tendulkar committee which pegged the percentage of people below the poverty line in rural areas at 25.7 per cent and urban areas at 13.7 per cent.  Based on its findings, the panel had pegged the poverty line at Rs 27 a day for rural India, which led to much criticism. China, India fast-track BCIM economic corridor project  China and India are adding fresh momentum to the establishment of the Bangladesh-China-India-Myanmar (BCIM) economic corridor, which is expected to develop gradually before more ambitious goals are achieved.  Chinese officials acknowledge that unlike in the past, when it was perceived to be dragging its feet, India is now showing enthusiasm over the project, which will link Kolkata with Kunming, the capital of China’s Yunnan province, passing through Myanmar and Bangladesh, with Mandalay and Dhaka among the focal points.  The focus on linking provinces and States — in this case, Yunnan and West Bengal — seems to have given a new impulse to galvanising the plan.  The main artery of the 2,800-km, K (Kolkata)-2-K (Kunming) corridor is nearly ready. A stretch of less than 200 km, from Kalewa to Monywa in Myanmar, needs to be upgraded as an all-weather road. Corridor will provide access to sea for north-eastern States  In Kunming, the leafy International Regional Cooperation Office of Yunnan is at the centre of the plans to develop the BCIM corridor.  In a free-wheeling conversation, its Deputy Director-General Jin Cheng said India is upgrading the road segment between Silchar in Assam and Imphal in Manipur.  From the West Bengal capital, the corridor will head towards Benapole, a border crossing town in Bangladesh. After passing through Dhaka and Sylhet, it will re-enter the Indian Territory near Silchar in Assam.  The rest of the passage will be connected with Imphal and then pass through the India-built Tamu-Kalewa friendship road in Myanmar.  Mandalay will be the next focal point of the corridor before the road enters Yunnan, after crossing Lashio and Muse in Myanmar. The Chinese stretch extends from Ruili before reaching Kunming through Longling and Dali.  The central corridor can be connected with two supplementary passages to the north and the south. Starting from Kunming, the northern passage heads towards Myitkyina, capital of Kachin state in Myanmar, before extending to Ledo in Assam.  After crossing Dibrugarh and Guwahati, this road enters northern Bangladesh and joins the central corridor inside the country, before reaching Kolkata.  At present, this route is problematic because it enters a small portion of Arunachal Pradesh over which India and China have a territorial dispute. Besides, a part of this stretch is insurgency-prone, and therefore unsafe.  Starting from Kunming, the southern corridor enters Bangladesh through Myanmar, with one branch heading towards the Cox Bazar port, while the other rejoins the central corridor in Dhaka.  The Chinese official pointed out that the BCIM corridor would be incomplete without drawing Mizoram into the framework through the Kaladan multi-modal transit transport project.

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 Under this plan, Mizoram would be connected with Myanmar’s port of Sittwe, through the Kaladan River, and the passage will provide all the landlocked north-eastern States access to the sea.  Mr. Jin acknowledged that one of the strategic factors driving the corridor was reduction of reliance on the Straits of Malacca, militarily dominated by the U.S. Housing, urban schemes give primacy to people’s vision  Launching flagship programmes for urban development and housing, Prime Minister Narendra Modi not only sought to give more powers to the States but also called for giving residents the mandate to decide how urban areas should emerge.  At the launch of the Housing for All, Atal Mission for Rejuvenation and Urban Transformation (AMRUT) and Smart Cities schemes, he said it was the first time that residents were being challenged to formulate a development vision for their cities.  The competitive mechanism would end the top-down approach and lead to people-centric urban development.  Under AMRUT, 500 cities are targeted for development. The Smart Cities scheme will target development of 100 cities over five years and Housing for All envisages construction of two crore houses in urban areas in seven years.  AMRUT, which replaces the Jawaharlal Nehru National Urban Renewal Mission, will give the States and the Union Territories the liberty and flexibility in formulation, approval and execution of projects.  The major common provisions incorporated in the guidelines of the new schemes include objective criteria for selection of cities and allocation of funds. New flagship programmes have mechanisms against delay  Under the Smart City scheme launched, each selected city will be provided Central assistance of Rs. 100 crore a year.  Under the Atal Mission for Rejuvenation and Urban Transformation (AMRUT), allocation of funds will be as per urban population and the number of cities and towns in each State or Union Territory.  Under the Pradhan Mantri Awas Yojana in urban areas, the allocation will be based on the number of urban poor and slum dwellers.  To avoid delays and non-completion of projects on account of lack of resources, the States and the Union Territories will now be required to indicate firmly resource tie-ups under State-level action plans.  Consultations with urban citizens have been made mandatory to ensure need-based and bottom-up planning of projects.  State-level action plans for convergence with other Central and State government schemes for resource maximisation, PPP models for resource mobilisation and involvement of members of Parliament and Assemblies in formulation and monitoring of projects are also included in the revamped schemes.  Under AMRUT, projects without availability of land and clearances will not be included in the Mission. Funds will have to be transferred to urban local bodies within seven days.  Cities will be chosen under the Smart Cities Mission through a two-stage competition. In the first stage, each State and Union Territory will rank all their cities based on a set of criteria and nominate the top scorers as per the indicated number of potential smart cities for participation in Stage 2 of the competition.  Women’s empowerment has been made a component of the Housing for All scheme that envisages houses for all by 2022.  Ownership of houses will be in the name of women or jointly with the husband. The average Rs. 1-lakh grant for a house to be provided by the Centre can be used by the States for slum redevelopment projects to make them viable. India pledges USD 1 billion aids for Nepal’s reconstruction programme  India pledged USD one billion in assistance to quake-ravaged Nepal for its massive reconstruction programme, asserting that it will strongly stand behind the Nepalese government which is seeking to “wipe the tears” of every Nepali.  The announcement was made by External Affairs Minister Sushma Swaraj during an international donors’ conference here. Swaraj hoped that a “stronger, united and more confident Nepal will rise” from the debris of destruction.  She said one fourth of the USD one billion assistance will be grant and it will be over and above India’s existing bilateral developmental assistance of another USD one billion over the next five years which takes the total assistance to USD 2 billion.  Swaraj conveyed India’s “deep and abiding commitment” to rebuilding of Nepal and highlighted that Prime Minister Narendra Modi ensured a prompt rescue and relief operation within six hours of the 7.9-magnitude April 25 quake.  “Today I convey to you the deep and abiding commitment of the Government and 1.25 billion people of India and the personal commitment of Prime Minister Shri Narendra Modi to stand shoulder to shoulder with you as you seek to wipe the tears of every Nepali,” Swaraj said.

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 The International Conference on Nepal’s Reconstruction has been organised by the Nepalese government to raise funds for rebuilding the country devasted by a powerful earthquake that struck exactly two months back on April 25, killing about 9,000 people and injuring around 23,000 others besides flattening over five lakh houses.  The conference was attended by several countries, including China, Britain, Norway, Japan, Sri Lanka, the European Union besides the UN, World Bank and Asian Development Bank. Need to cut approvals: Parekh  HDFC Chairman Deepak Parekh has said the major hurdle to ‘Housing for All by 2022’ is long approval timelines that extend up to two years.  At least 50 approvals are required now, he said in the firm’s report. Marine’s row: Italy files arbitration case  With unending delay in concluding the judicial process involving two Italian marines in India, Italy launched an international arbitration case against India within the framework of the United Nations Convention on the Law of the Sea, the Italian Foreign Ministry said in a statement on its website.  Italy will seek the immediate transfer of the marines Massimiliano Latorre and Salvatore Girone to the country pending the arbitration process. No conclusion  “The decision, which Parliament had called for, was taken at the conclusion of the necessary negotiating phase directly with India and facing the impossibility of reaching a solution to the dispute,” the statement added.  Italy also asserted that there will be an “all-out effort” to assert with the utmost determination the reasons underlying the “known position on the Italian jurisdiction and immunity.”  In February 2012, the two marines, on board an Italian commercial vessel, shot and killed two Indian fishermen, mistaking them for pirates.  While India insists that the vessel was in Indian territorial waters and therefore should be tried by Indian jurisdiction, Italy claims the incident took place in international waters and that the marines should therefore be tried in Italy or in an international court. PM to launch e-governance schemes  Prime Minister Narendra Modi, while sharing the roadmap for Digital India, will unveil various e-governance schemes such as Digital Locker, e-education and e-health at the Digital India Week, beginning on July 1. Camps to settle nationality of enclave dwellers  With the aim of implementing the Land Boundary Agreement, officials of the Joint Border Working Group of India and Bangladesh will hold camps in enclaves located in both the countries from July 6 to 16. Through this exercise, the views of enclave dwellers on the nationality they wish to hold will be taken.  Awareness among the enclave dwellers about the upcoming exercise would be created through leaflets, poster and public announcements. Real-time info on train network by October  The Railways will pilot the launch of a centrally managed railway display network in 10 major stations by October. The network will provide real-time information on train arrivals and departure, reservations and general and emergency messages.  The rollout of the railway display network would be undertaken by RailTel Corporation, a public sector arm of the Railways. Nadia gets U.N. pat for achieving total sanitation  The district Magistrate of Nadia along with chief of Nadia Zilla Parishad in West Bengal was presented the United Nations Public Services Award 2015 for eliminating open defecation in the district.  Nadia district, located in south Bengal, had half of its population defecating in open till October 2013. The district administration, under a programme called Sabar Souchagar, built 3.56 lakh toilets in the district. As a result, the number of people continuing with the practice dropped to mere 0.2 per cent.  The U.N. has described Sabar Shouchagar (Toilets for All) as a “unique model developed to generate awareness, improve access to sanitary toilets, and bring substantial health improvement through improved sanitation.”  The U.N. added that the scheme has mobilised all stakeholders, “especially women and schoolchildren and saw involvement of faith-based organisations” and “if replicated, it has the potential to eliminate open defecation from across the world.” OROP: exclusivity key to preventing legal recourse  As anticipated by the government, retired personnel from Central Armed Police forces (CAPF) and Central Para Military Forces (CPMF) raised the demand for One Rank One Pension (OROP) in line with the plans for Ex-servicemen.  Members of the National Coordination Committee of ex-CPMF Personnel Welfare Associations said they had “no objection to Ex-servicemen getting OROP,” but stressed that “they were equally eligible for it”.  To prevent legal challenges in future, the Defence Ministry has stated that OROP would be made exclusive for Service personnel by classifying it as “military pension.”  Experts said this could be accomplished through a government order as it was an executive decision and a Bill was not required. The essential criterion is to clearly define it as different from civilian pension, they said.  However, Ex-servicemen are apprehensive that the government might use this as a pretext to dilute the definition of OROP. Weekly News and Analysis Byju’s Classes-9873643487 10 2015CA_025,026,027,028,029,030,001

East should lead next Green Revolution: Modi  Prime Minister Narendra Modi called for a second Green Revolution, saying it should start immediately from eastern India.  He said the agriculture sector had been lagging in several areas including inputs, irrigation, value addition and market linkages.  Emphasising the need for scientific methods for farming to increase productivity, Mr. Modi said, “Unless we prepare a balanced and a comprehensive integrated plan, we will not be able to change the lives of farmers.”  Pitching for “per drop, more crop,” Mr. Modi stressed the need for research in the field of agriculture to determine the health of soil and its needs in terms of seeds, water quantity, amount of fertilizers and so on.  He said the government was taking steps to train youth in soil testing so that such labs could be set up on the pattern of pathological labs for humans. “This will also lead to job creation,” he said.  Turning to pulses, he said India needed to import these because of a shortfall in production, and noted that a special package had been given to farmers engaged in cultivation of pulses. Foreign law firms will soon operate in India  The Centre will in a phased manner soon open up India’s non-litigious services and international arbitration legal services to foreign law firms.  The proposal for the reform will be put up for approval in early July to a Committee of Secretaries after which it will be taken up by the Cabinet chaired by Prime Minister Narendra Modi.  “The Bar Council of India, which regulates the legal fraternity, and the Society of Indian Law Firms, which represents the interests of large law firms, have, in principle, agreed to the proposal,” Commerce Secretary Rajeev Kher said.  The government was keen to announce the liberalised policy in January during the visit of U.S. President Barack Obama. However, the move was postponed after resistance from the domestic legal services industry. MEA opens doors to IR experts as consultants  In a decision aimed at reducing the work pressure on Indian Foreign Service officers because of an acute shortage of hands, the Union government has decided to invite “consultants” to the External Affairs Ministry for three-year terms.  The decision, notified in a circular posted on the Ministry’s website calling for international relations experts with an M.Phil. degree to join the Ministry’s Policy Planning and Research Division (PPR), is a significant break from the past and is expected to reduce the pressure on IFS officers to do research. The consultants will be required to follow “specific geographical or thematic” areas, compile research papers on the subject and attend seminars.  The IFS has been facing a manpower crunch in the past few years, given the increasing number of international engagements and high-profile visits. In 2012, the Ministry had 3,500 officials, of whom only 815 were officers (IFS-A).  That compared poorly with other countries such as the U.S., which has approximately 20,000 diplomats, including thousands of “lateral entrants”, or Japan and China with nearly 5,000 diplomats each.  The problem has been felt most acutely by those in the neighbourhood where every sudden development has the potential of snowballing into a crisis that impacts India greatly. While the division on Bangladesh, Sri Lanka and Maldives has been broken up, the division on Pakistan, Iran and Afghanistan remains one “over-burdened” unit.  The MEA’s latest decision is not the first time it has allowed non-IFS members into the policy planning process. Several officers have been deputed from other ministries, especially the Finance and Commerce ministries, and last year, the MEA set up a special division for ‘Centre-State’ relations aimed at bringing State government officials and missions abroad in closer contact  Academics say the move will attract young academics, but not more senior experts given there would be little scope for a longer career within the Ministry. Households using PDS double in seven years  New official data show that the proportion of Indian households using the Public Distribution System has nearly doubled over seven years. These households are relying more on the PDS and less on open market sources than before.  The National Sample Survey Organisation’s report on the ‘Public Distribution System and Other Sources of Household Consumption’ was released last week and looks at findings from a nationally representative survey on the use of the PDS conducted in 2011-12.  The report finds that the proportion of households which reported consuming grain purchased through the PDS was up to 46 per cent of all households in the case of rice and 34 per cent in the case of wheat for rural India, which is a near doubling since 2004-05, and an increase over 2009-10.  In urban India, the proportion of households reporting they bought wheat from a ration shop has more than tripled in seven years to 19 per cent, while the proportion of urban households buying PDS rice has nearly doubled to 23 per cent.  Simultaneously, the monthly per capita consumption of grain bought from the PDS has grown in both rural and urban areas, while the amount of grain bought from other market sources – while still accounting for the majority of an individual’s consumption — has fallen.  The numbers also clearly show the centrality of the PDS to poor households; the proportion of a family’s food consumption that comes from the PDS is highest among the poorest five per cent, and then falls slowly as families get richer.  Even among the richest five per cent in rural India, the PDS accounts for 20 per cent of rice consumption and ten per cent of wheat consumption. 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 Among States, nearly 90 per cent of households in rural Tamil Nadu and Andhra Pradesh report consuming PDS rice, and over 75 per cent in Kerala and Karnataka.  Activists attribute the rise in the number of households consuming grain from ration shops to the improved functioning of the PDS in several States.  Economists Reetika Khera and Jean Dreze have shown that diversion in PDS grain has declined sharply in several States, including Chhattisgarh, Bihar and Odisha, and attribute this to the expansion and improvement of the PDS in those States.  A study commissioned by the new government claimed last year that the PDS was leaky and was not improving and recommended a move to cash transfers. But Food and Civil Supplies Ministry officials insisted that “there is no plan at the moment to wind up the PDS.” ‘MSP hike can boost pulses production’  Former Member of the Planning Commission and economist Abhijit Sen said that Prime Minister Narendra Modi could give a push to increasing pulses production by raising the minimum support price (MSP) for procurement.  An analysis by The Hindu of food grains production data to understand why farmers prefer to grow cereals rather than pulses found that pulses are among the least productive of all crops — the yields are on average 760 kg per hectare, compared to 2,400 kg per hectare for cereals, and 1,100 kg per hectare for oilseeds.  Low yields on the one hand and relatively more lucrative MSP for other food grains makes pulses an unattractive crop for farmers.  For example, one hectare’s yield of jowar with a minimum support price of Rs. 15.90 per kg (as of June 17, 2015) gets the farmer Rs. 38,160. The same land used to grow urad dal or tur dal with an MSP of Rs. 44.25 per kg earns the farmer Rs. 33,630 — that’s Rs 4,500 less for every hectare the farmer devotes to pulses instead of cereals.  The reason behind this low yield in pulses — which has barely changed in more than three decades — is that pulses are technology-proof crops, argued Dr. Sen. “Despite years of trying, no amount of R&D has increased the yield of pulses significantly, unlike cereals which saw a huge increase in productivity due to technological advances.”  Another reason for the poor level of yields is that farmers are increasingly growing pulses on inferior land. “As farmers found that they were getting more out of growing cereals, pulses increasingly became marginal crops grown on marginal [less fertile] land. This has further hit yields,” Dr. Sen said.  Low yield levels and a significant dependence on imports have meant that the prices of pulses have risen sharply. The consumer price inflation in pulses, at 7.9 per cent in 2014-15, was higher than the overall food inflation of 6.2 per cent. In fact, proteins, fruits and vegetables have been the main drivers of food inflation since around year 2000, as opposed to cereals and sugar, which were the main drivers in the previous four decades. Manipur ambush: NIA arrests NSCN regional chairman  The National Investigation Agency made its first arrest in connection with the killing of 18 Army personnel at Chandel in Manipur earlier this month.  Accused Abi Anal alias Ambison is a senior functionary of banned outfit National Socialist Council of Nagaland (Khaplang) that claimed to have carried out the ambush on June 4.  According to the NIA, Ambison had met the insurgents before they ambushed the Army convoy.  The NIA has registered the case against the top leadership of NSCN (K) and its affiliates under various provisions of the Unlawful Activities (Prevention) Act, the Explosive Substances Act, the Arms Act and the Indian Penal Code. Vaccination coverage: Govt refuses to accept UNICEF report  Amid an intensive effort to improve immunisation coverage in districts with the most unvaccinated children, the latest vaccination survey results have become a bone of contention between the government and the United Nations Children’s Fund (UNICEF).  The Women and Child Development Ministry, to whom the UN agency submitted the data of the Rapid Survey of Children (RSOC) conducted during 2012-13, has refused to accept it questioning the very basis of the survey.  Sources claim that part of the government’s unease comes from the fact that one of the states shown to have suffered a dip in the immunisation coverage of children, aged between 12-23 months, is the then Narendra Modi-ruled Gujarat.  Not convinced about the results, the ministry now wants more details about the survey’s methodology.  “The RSOC is a survey carried out by the Ministry of Women and Child Development, with the technical support from UNICEF India. Currently, the Ministry is reviewing the full comprehensive data set. Work is in progress,” UNICEF said.  The latest round of RSOC shows that while the total immunisation coverage in the country rose from 61 per cent to 65.2 per cent, the immunisation coverage in Gujarat actually fell from 56.6 per cent in 2009 to 56.2 per cent – a marginal 0.4 per cent – at the time of the survey.  In Gujarat, as per the survey, 6.2 per cent children had not received any vaccination at all against the national average of 6.7 per cent.  Other states which showed a dip were Maharashtra, Meghalaya, Assam and Mizoram.  A child is said to have received full immunisation coverage if it has been given all doses of the seven vaccines administered under the universal immunisation programme.  Coverage in Maharashtra dipped from 78.6 per cent to 77.4 per cent. Arunachal Pradesh, on the other hand, more than doubled its coverage from 24.8 per cent to 50.5 per cent.  In Bihar, the coverage rose from 49 per cent to 55.3 per cent, with 11.6 per cent children unvaccinated. Weekly News and Analysis Byju’s Classes-9873643487 12 2015CA_025,026,027,028,029,030,001

 Uttar Pradesh registered an upward coverage change from 40.9 per cent to 47 per cent. The percentage of children in UP who had received no vaccination at all was 14.6 per cent.  The irony of the whole situation is that as the Ministry of Health goes ahead with its ambitious vaccination improvement initiative — Mission Indradhanush — in 201 districts across the country, the official data available to measure the mission’s effectiveness is the Coverage Evaluation Survey done by UNICEF way back in 2009.  The mission-mode initiative started in April and will continue till July, incorporating learnings from the very successful pulse polio campaign. Exercise Malabar: Japan Navy to join India, US in Bay of Bengal  Despite the India-US joint statement issued during President Obama’s Delhi visit stating that “they will upgrade” Exercise Malabar, the maritime exercise will remain restricted to India, US and Japan this year, diplomatic sources said.  The 2015 exercise will see Japan’s participation in a naval manouevre in the Bay of Bengal after eight years but Australia will not be participating in the exercise. This was confirmed at the seventh US-India-Japan trilateral dialogue held at Honolulu.  Although Japan had been part of the 2014 Malabar exercise held at its Sasebo naval base, India and US had kept Tokyo out of the initial planning for the current edition. This was because the 2015 Malabar exercise is scheduled to be held in the Bay of Bengal in October this year.  India and US have restricted the Malabar largely to a bilateral format after China had protested against the 2007 exercise held in the Bay of Bengal. Along with the Indian and American navies, the 2007 edition had included the Australian, Japanese and Singaporean navies.  Malabar is an annual naval training exercise conducted by Indian and American navies, which includes fighter combat operations from aircraft carriers and other joint interdiction exercises.  India will host its first-ever IN-RAN bilateral naval exercise with Australia in October-November, and JIMEX maritime exercise with Japan in November. PM to launch e-governance schemes  Prime Minister Narendra Modi, while sharing the roadmap for Digital India, will unveil various e-governance schemes such as Digital Locker, e-education and e-health at the Digital India Week, beginning on July 1. Digital India to bring investments in ‘billions’  The Digital India Week, to be inaugurated by Prime Minister Narendra Modi on July 1, is likely to see commitments of “billions of dollars” of investments by foreign and domestic firms, Telecom Minister Ravi Shankar Prasad said.  “A number of memorandums of understanding for investment proposals will be signed. We except large-scale investments in electronic manufacturing and Digital India … should be billions of dollars. The industry leaders will announce their plans at the event,” Mr. Prasad said.  The investments will also generate employment for lakhs of people, he added. Camps to settle nationality of enclave dwellers  With the aim of implementing the Land Boundary Agreement, officials of the Joint Border Working Group of India and Bangladesh will hold camps in enclaves located in both the countries from July 6 to 16. Through this exercise, the views of enclave dwellers on the nationality they wish to hold will be taken.  Awareness among the enclave dwellers about the upcoming exercise would be created through leaflets, poster and public announcements. Real-time info on train network by October  The Railways will pilot the launch of a centrally managed railway display network in 10 major stations by October. The network will provide real-time information on train arrivals and departure, reservations and general and emergency messages.  The rollout of the railway display network would be undertaken by RailTel Corporation, a public sector arm of the Railways. Tackling water crisis, the Maharashtra way  After witnessing an alleged scam of thousands of crores in building large, medium and small irrigation projects in Maharashtra, the State is now focusing on building decentralised, local and farmer-oriented water bodies.  This government-sponsored watershed programme called ‘Jalyukta Shivar Abhiyan’ (JSA) that has begun in over 6,000 villages, aims at making 5,000 of those free of water scarcity by March 2016.  Maharashtra has witnessed drought in the last two years.  At present only 18 per cent farming in the State is under irrigation, while 52 per cent area is drought prone.  “This scheme is more of protective irrigation. The main aspects of it are to store water, recharge groundwater levels and increase soil moisture,” said Prabhakar Deshmukh, Principal Secretary, Water Conservation department.  Priority is given to rejuvenation of old structures such as compartment bunding, deepening and widening of nullahs, percolation tanks etc. Completing pending works and building new structures comes next. Modi’s Central Asia visit will focus on fighting Islamic State menace  Countering the spread of Islamic State (IS) terror will be a key part of Prime Minister Narendra Modi’s eight-day visit to five Central Asian states — Kazakhstan, Kyrgyzstan, Uzbekistan, Tajikistan and Turkmenistan — next week (July 6-13), as those states gear up to battle the Islamic State’s rising influence.  Mr Modi will also travel to the Russian city of Ufa to attend the BRICS and SCO summits affording him two opportunities to meet the Central Asian leaders and discuss counter-terrorism cooperation. 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 The Prime Minister will discuss counter-terror technology, training forces and also countering radicalism.  Significantly, the government had also appointed former IB chief Asif Ibrahim as a special envoy recently, with a mandate to discuss the spread of IS and terrorism, and liaise with governments abroad on the issue.  The countries in the Central Asian region, all of whom have sizeable Muslim majority populations have been particularly worried recently about the growing numbers of their youth attracted to the IS terror group.  In particular the announcement this week of Colonel Gulmurod Khalimov, commander of Tajikistan’s Interior Ministry Special Forces, joining the IS forces in Syria has sent shockwaves through these states that are known for practising a moderate, multi-ethnic version of Islam.  India has also been supportive of the efforts in these countries to curb radicalism.  In June, the U.S. State Department’s report on terrorism criticised many of the Central Asian countries for a crackdown on extremism, including Tajikistan for “prohibiting children under 18 from attending mosques”, and accused Turkmenistan’s government of “viewing conservative Islam with suspicion and exercising strict controls over the population.”  The Hijab has also been banned in many of these states, while men are discouraged from wearing long beards.  TAPI also on the agenda: Prime Minister’s visit is expected to give an impetus to various energy and mining projects including the Turkmenistan-Afghanistan-Pakistan-India (TAPI) natural gas pipeline.  The multi-billion dollar TAPI project could be off to a year-end start, as the legal framework is expected to be in place by September followed by the announcement of the consortium.  Energy cooperation including gas, oil and uranium, defence training and exercises, as well as trade transit through the newly opened avenues via Iran will also be high on the agenda as Mr. Modi visits the region.  At present the five Central Asian republics account for trade of only about $1.6 billion with India, compared to about $50 billion with China that has made them a key to its Silk Road Economic Belt (SREB) initiative.  India and Kazakhstan are also expected to ink deals on the setting up of a fertilizer factory in Turkmenistan, on urea and potash supply and transport and energy sectors.  The PM’s visit to Kazakhstan is expected to give a fillip to the civil nuclear deal signed in 2009, to the proposed joint mining of uranium in Kazakhstan and to the Caspian Sea oil block drilling agreement, that India has 25 per cent stake in.  India and Kazakhstan could also be finalising agreements on mining, mineral and oil and gas projects, which include iron ore, coal and potash exploration.  Tajikistan, where India has an air base, is looking to firm up ties with New Delhi on security, trade and investment during the PM’s visit. Green Climate Fund to become operational soon  The $100-billion Green Climate Fund will soon become operational in India and the process of accrediting organisations which can access the funds is going on.  Some international agencies has already accessed funds to work towards climate change mitigation and adaptation.  The fund would be made available to organisations such as NABARD that made development investment decisions and NGOs might not qualify. People in cities fall sick more often, reveals NSSO survey  A health survey conducted by the National Sample Survey Organisation (NSSO) shows that more people fall ill in urban areas compared to rural India.  During a 15-day reference period, 89 per 1,000 persons reported sick in rural India against 118 persons in urban areas.  The survey also reaffirmed the fact that the lion’s share of the country’s health burden is still shouldered by the private sector, with more than 70 per cent spells of ailment (72 per cent in the rural areas and 79 per cent in the urban areas) being treated by the private sector.  Despite a separate ministry to promote alternative medicine, allopathy still rules the roost in the country as more than 90 per cent of urban and rural population prefers that treatment.  One of the vital components of the survey was dedicated to collecting information relevant for determination of the prevalence rate of different diseases among various age-sex groups in different regions of the country.  In rural India, 42 per cent hospital treatment was carried out in a public hospital and rest, 58 per cent, in a private hospital. For urban India, the corresponding figures were 32 per cent and 68 per cent.  For each hospitalised case, higher amount was spent for treatment by people in the private hospitals (Rs 25,850) than in the public hospitals (Rs 6,120).  The highest expenditure was recorded for treatment of cancer (Rs 56,712) followed by that for cardio-vascular diseases (Rs 31,647). The average medical expenditure per non-hospitalisation case was Rs 509 in rural India and Rs 639 in urban India.  Worryingly, about 86 per cent of rural population and 82 per cent of urban population are still not covered under any health expenditure support scheme. Madden Julian Oscillation: The reason behind the unexpectedly good June rain  Both El Nino and MJO are ocean-atmosphere interactions that occur in the equatorial region and influence a number of weather events worldwide, including the Indian monsoon.  El Nino, the unusual warming of sea-surface Pacific waters off the South American coast, is a stationary system.

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 The MJO, on the other hand, is a moving system of wind, cloud and pressure that brings rain as it circles around the equator.  There is evidence that the two phenomena are correlated. Thus, strong MJO activity, like this year, is witnessed in a year of strong El Nino.  A strong El Nino year — the strength being a measure of increase of temperature of sea surface water — is generally associated with a bad monsoon, though the correlation is not exclusive. Exactly how it impacts the monsoon is not fully understood.  The MJO is even lesser understood.  The phenomenon takes its name from the two scientists who identified it in 1971 — Roland Madden and Paul Julian, who then worked at the National Centre for Atmospheric Research in Boulder, Colorado.  A disturbance of clouds, wind and pressure, moving eastward at a speed of 4-8 metres per second, MJO goes around the globe in 30-60 days on average. Sometimes, it can take 90 days.  As it moves, strong MJO activity often splits the planet in to two — one in which the MJO is in active phase and brings rainfall, and the other in which it suppresses rainfall.  In the active phase, MJO results in more than average rainfall for that time of the year, while in the suppressed phase, the area receives less than average rainfall.  An active phase is generally followed by a weak or suppressed phase, in which there is little MJO activity.  Three active MJO periods are witnessed every year on average.  The effect of the MJO is witnessed mainly in the tropical region, in the band between 30 degrees North and 30 degrees South of the equator, even though the mid-latitude regions in both hemispheres also feel its impact. India falls in this band.  Because the MJO cycle lasts only 30-60 days, there can be multiple MJO events in a season.  In the tropics, MJO in its active phase brings frequent cyclonic activity, and can initiate the onset of the monsoon. It causes one or two weeks of intense rainfall, as was witnessed in India in June. An active MJO was passing through the Indian Ocean during that time.  It resulted in about 20 days of very good rainfall in most parts of the country. June has ended with more than 15 per cent excess rainfall, defying forecasts of a dry month.  The MJO moved away from the region around June 25, and almost immediately, rainfall activity in many parts of the country subsided considerably.

ECONOMY NEWS India among top 10 FDI recipients  After 2008, for the first time, India again broke in to the top 10 recipients of foreign direct investment (FDI) during 2014, the UNCTAD said in its World Investment Report 2015.  India jumped to the ninth rank in 2014 with a 22 per cent rise in FDI inflows to $34 billion. India was at the 15th position in the previous two years.  India, however, is the only BRIC (Brazil, Russia, India and China) country that hasn’t yet crossed the $50 billion-a- year FDI mark.  “Till the time an MP is afraid to appear to encourage FDI or business in India, the high favourability ratings will not convert into high inflows and they will remain low,” said UNCTAD’s Premila Nazareth Satyanand, releasing the report.  China became the largest recipient of FDI in 2014 with $129 billion inflows, followed by Hong Kong (China) that received $103 billion and the U.S. with $92 billion. At 39 per cent, Hong Kong saw the biggest surge in inflows during the year.  Russia dropped out of the top 10 as foreign investors exited its oil sector and other projects after Western countries slapped economic sanctions on it. Weekly News and Analysis Byju’s Classes-9873643487 15 2015CA_025,026,027,028,029,030,001

 Among the top 10 FDI recipients in the world, half are developing economies - Brazil, China, Hong Kong (China), India and Singapore.  In a development of significance to India, for the first time FDI inflows in to China’s services sector were greater than into its manufacturing sector.  Global FDI fell 16 per cent to $1.23 trillion in 2014 mainly due to the fragility of the global economy, policy uncertainty for investors and elevated geopolitical risks, according to the report. New investments were also offset by some large divestments.  India, however, dropped out of the top 20 countries in the outward FDI flows.  The report also found that developing countries lost $100 billion in tax revenues owing to investors routing FDI through tax havens such as Mauritius, and has made a strong case for multilateral action to address the issue.  The report records the big surge in investments from China into every region of the world, and especially in India’s neighbourhood.  FDI inflows to Pakistan increased by 31 per cent to $1.7 billion as a result of rising Chinese FDI flows in services. Further, the country will benefit significantly from the China-Pakistan Industrial Corridor and associated Chinese investment in infrastructure and manufacturing in the overall context of implementing the “One Belt, One Road” strategy.  In Sri Lanka, where China has become the largest source of FDI in recent years, FDI flows from it rose. For example, a joint venture between two local companies and China Merchants Holdings (International) Company has invested $500 million in Colombo International Container Terminals, the largest foreign investment project in Sri Lanka.  Moreover, if the implementation of the China-led 21st Century Maritime Silk Route Economic Belt gains ground, an increasing amount of Chinese investment will flow to Sri Lanka, particularly in large infrastructure projects. Australia to join China-led infra bank  Australia, announced that it would join the new China-led Asian Infrastructure Investment Bank (AIIB) as a founding member, contributing about $930 million to the financial institution of which India will be the second largest shareholder.  “We look forward to working with other members to lay the foundations for an effective new multilateral institution, which is expected to be operational by the end of the year,” Australian Foreign Minister Julie Bishop said.  “Australia will contribute around A$930 million as paid-in capital to the AIIB over five years and will be the sixth largest shareholder,” she said.  AIIB will have paid-in capital of $20 billion (A$25.2 billion) with total authorised capital of $100 billion (A$126.2 billion).  According to official statement, there was an estimated infrastructure financing gap of around $8 trillion in the Asian region over the current decade.  The AIIB will be part of the solution to closing this gap, it said. “Joining AIIB presents Australia with great opportunities to work with our neighbours and largest trading partner to drive economic growth and jobs.  AIIB will work closely with the private sector, paving the way for Australian businesses to take advantage of the growth in infrastructure in the region,” the statement said.  “The governance of AIIB will be based on best practice, ensuring that all members will be directly involved in the direction and decision- making of the bank in an open and transparent manner,” it said.  The AIIB, which will be headquartered in Beijing, is designed to finance infrastructure construction in the continent. The bank already has 57 prospective members.  However, it has been shunned by the United States and Japan, the world’s largest and third largest economies. Yuvraj Singh turns investor bets big on start-ups  His venture capital fund, YouWeCan Ventures, has acquired stake in two start-ups — Healthians.com and EduKart. These start-ups are focused on healthcare and education.  Healthians.com, an online healthcare marketplace, helps users discover affordable healthcare and provides transparency about price and quality.  It aggregates diagnostic labs, crowd sourced sample collectors and nearby doctors.  The firm also makes medical records of patients available online.  “Having gone through life threatening medical condition, I’m extremely keen to promote preventive healthcare in India,” said Mr. Singh, who was diagnosed with a rare lung cancer but returned to international cricket in less than a year.  “While most of us today have an online social profile or an online professional profile, there’s a large need to use technology to create and track individual health profile,” Mr. Singh added.  The company is targeting to form a network of over 1,000 Healthians’ branded labs in over 20 cities, including Delhi, Bengaluru, Mumbai, Hyderabad, Pune and Chennai.  It also plans to tie up with 2,000 pharmacy stores to enable them offer diagnostic tests along with medicine sales to their customers.  Diagnostic market in India is a $5 billion (Rs.31,000 crore) industry, with over a million tests being conducted daily, according to research firm IBEF.  Healthians plans to profile over one million users and crowd source over 1,000 mobile health advisors. It also aims to conduct more than two lakh tests in next one year.

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 Mr. Singh’s YouWeCan also invested $1 million (Rs.6.3 crore) in education marketplace EduKart, along with business conglomerate Holostik Group’s United Finsec and US-based seed fund 500 Start-ups. Now switch off your credit card  Axis Bank has launched a new debit card named 'Secure+’, which can be "switched off" for specified time periods, and has also put in fraud protection and personal accidental cover along with the offering. The card can be switched off by using a mobile phone app or via internal banking. Delhi 2nd only to Goa in per capita income: Survey  They may crib about power traffic, traffic jams and pollution, but Delhiites on an average earn Rs. 2.41 lakh a year each, second only to the beach-blessed Goans' annual per capita income of Rs. 2.85 lakh and their earnings are nearly 2.74 times more than the average Indian's annual income of Rs. 87,748.  The national capital is also among the fastest growing states in the country, the Delhi government said.  Its annual report card- the Economic Survey of Delhi 2014-15 – estimated that the city-state grew at 8.2% on a real basis (adjusted for inflation) in 2014-15, outpacing the national economy’s growth rate of 7.3%.  That said, job creation and skill enhancement remain key priorities for the government with thousands of young people set to join the queue of hopefuls every year.  Most of the new jobs will likely have to come from the services sector that contributes 87.48% of the economy. Industry accounts for 11.69% while the farm sector pitches in only 0.83% to Delhi’s economy.  “Adequate livelihood opportunities need to be created for inclusive growth which will help add commensurate employment to facilitate a growing labour force, “the survey said ahead of the Arvind Kejriwal- led AAP government’s maiden budget on Thursday.  Deputy Chief Minister Manish Sisodia, also Delhi’s finance minister, will present what’s been billed as “India’s first public budget” amid a raging administrative turf battle between the government and lieutenant governor Najeeb Jung.  “The workforce not only needs to be trained to meet the requirements of all sectors and all kinds of jobs but also to link them to job opportunities and market requirements, “ the survey said.  The survey also flagged cooling prices as another focus area. Consumer price index (CPI)- based inflation- a more realistic measure as it captures shop-end prices – stood at 5.73% in Delhi in May, higher than the national inflation rate of 5.01%.  Farm income remains low despite high retail prices, the survey said, obliquely hinting that intermediaries could be artificially fanning inflation.  Delhi’s gross state domestic product (GSDP)- the total value of goods and services produced here – at current prices during 2014-15 has increased to over Rs. 4.51 lakh crore, a growth of 15.3% over the previous year. 11 Indian firms in Forbes list  As many as 11 Indian companies, including Avanti Feeds Ltd., and Borosil Glass Works, are ranked among top 200 Asia Pacific corporations in Forbes Asia’s ‘Best under a Billion’ list.  The list covers public companies with annual revenue of $5 million to $1 billion, Forbes said, adding that they should also have positive net income and should be publicly traded for at least a year.  With 11 companies, India was ranked fourth after South Korea. The Indian firms are Byke Hospitality, Caplin Point Laboratories, Centum Electronics, Kaveri Seed, Kitex Garments, NGL Fine-Chem, Orbit Exports, Premco Global and Vakrangee. KV Kamath: BRICS bank to initiate work by April ‘16  New Development Bank (NDB) — initially known as the BRICS Bank — is expected to roll out its operations and take up projects by April 2016.  “NDB (founded by the BRICS nations — Brazil, Russia, India, China and South Africa) has opted for a larger canvas by expanding its scope of operations to other member nations.  The name of the bank was changed as new partner countries are likely to join the BRICS group of emerging economies,” said KV Kamath.  The charter for the bank has been drawn and it will be mostly on the lines of World Bank, Asian Development Bank and private multilateral lenders. The bank will enjoy the same privileges as these institutions, he said.  On how the multilateral bank will be different from other institutions like the World Bank and Asian Development Bank, Kamath said NDB will have a different mindset that is required for developing countries and it will be a lot more flexible in its operations.  “Its policy mindset will be driven by all stakeholders’ and not just the lender’s. An important aspect will be with regard to the speed of lending for projects posed to the institution.  NDB seeks to bring in product diversification by introducing capital market products and will be open for equity infusion,” he said. Bharti buys stake in satellite firm OneWeb  In a bid to provide affordable Internet access to all, Bharti Enterprises has acquired a minority stake in OneWeb, which plans to offer communication services using satellites by 2019. OneWeb has received $500 million for the project from its investors, and plans to launch services by 2019. 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 OneWeb, founded in 2012, is building a communication network with an initial constellation of 648 low earth orbit satellites. Seven global corporations, including Qualcomm Inc, Virgin Group, Airbus Group, Bharti Enterprises, The Coca-Cola Co, Grupo Salinas, and Intelsat, have joined the communications initiative. MPO set for accelerated growth  India’s medical process outsourcing (MPO) segment has benefited from an evolved medical education system and its established prowess as a hub for outsourcing and can grow further given a favourable and stable regulatory environment and increased transparency.  A study, ‘Medical Process Outsourcing in India’ by Assocham and EY (Ernst & Young), said India’s MPO segment was currently estimated at $3.3-4.2 billion of which the pharmaceutical outsourcing market (excluding contract manufacturing services) accounted for about 75 per cent at $2.5-3.1 billion.  “India has emerged as the second largest destination after the US in the healthcare outsourcing space,” Milan Sheth, partner and Technology Industry leader, EY India, said.  “The growing ability of Indian players to analyze big data, discover hidden patterns and unknown correlations are driving new service offerings in the market.”  The report said domestic players gradually moved up the value chain in terms of service offerings while maintaining their cost competitiveness.  Besides, the recent U.S. regulation on Patient Protection and Affordable Care Act (PPACA) and the proposed introduction of ICD-10 standards gave an impetus to the Indian MPO market.  These factors would see the payer BPO market grow at about 10 per cent per annum in the next 3-4 years globally, the provider outsourcing at more than 30 per cent during 2011-16, and the Contract Research Organizations (CROs) market at 18-20 per cent in coming years, it said.  The domestic demand for MPOs was fuelled by rising demand for high-end healthcare facilities and multi-specialty hospitals, established medical and central lab infrastructure and training centres, which contributed to the growth of healthcare and life-sciences industry.  The Assocham-EY study said that in order to fuel growth in MPO sector, the government should focus on implementing data privacy laws and introducing proper regulations around intellectual property (IP) and patent laws. Kitty gets bigger, now at all-time high of $355.5 billion  Foreign exchange reserves jumped $1.17 billion to touch a new record high of $355.46 billion in the week to 19 June, driven by a jump in foreign currency assets, according to RBI data.  Foreign currency assets, a major component of overall reserves, swelled $1.13 billion to $330.71 billion in the reporting week, the data showed.  Expressed in dollar terms, these include the effect of appreciation and depreciation of non-US currencies such as the euro, the pound and the yen held in the reserves.  According to an HSBC report, the country’s foreign exchange reserves are above traditional levels, but the country’s peculiar characteristics and experience in recent crises suggest that about $60 billion more could buffer sufficiently a prolonged global financial tightness.  “We estimate an additional $60 billion of reserves, taking overall holdings to $420 billion, could take care of key vulnerabilities such as unhedged external commercial debt, short-term external debt and portfolio outflows,” the report said.  The special drawing rights with the International Monetary Fund were up by $26.6 million to $4.07 billion while the country’s reserve position with the fund surged $8.5 million to $1.32 billion, the data showed. Titagarh Wagon’s bid for European firm gets nod  Titagarh Wagons Ltd. (TWL) bid for acquisition of a European railway rolling stock manufacturing company has been accepted by the competent authorities, the company said in a regulatory filing.  Enquiries revealed that the target company is based in West Europe and is engaged in making locomotives and passenger coaches, with over 200 persons on its rolls.  The company said that this was part of its efforts to increase presence in the international markets. TWL had acquired in July 2010, a bankrupt wagon firm in France and had turned it around, the company said.  TWL is among the major private sector wagon manufacturers in India. It is primarily engaged in manufacturing railway wagons & EMUs (coaches), bailey bridges, heavy earth moving and mining equipment, steel and SG iron castings of moderate to complex configuration etc.  As an ‘Industry Partner’ to the Defence Research and Development Organisation, Ministry of Defence (DRDO), the company also manufactures certain products for the Indian defence establishment, such as special wagons, shelters and other engineering equipments.  It also has a tea estate in Mirik, Darjeeling. Moving into a smart space  The government’s plans for developing 100 Smart Cities over the next five years is now heading for reality with the Prime Minister formally announcing the scheme along with the other schemes of Atal Mission for Rejuvenation and Urban Transformation (AMRUT) and ‘Housing for All’.

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 While the task seems ominous, at a micro-level, there are several smart developers ahead of the curve, who developed projects along ‘smart’ lines over the last few years.  This has been a response to increasing awareness and the push from companies in India towards ‘green’ and sustainable office and residential spaces. The increasing adoption of global best practices and latest technologies in the building construction sector has by and large been embraced by the real estate community for some years now.  A recent survey by Honeywell India of 2,000 buildings across 10 Indian metros which evaluated building ‘smartness’ across the parameters of being green, safe and productive found that although the country’s airports and hotels led the way with smart building technologies, the overall smartness of buildings in India is low.  The survey found that most buildings scored highest on green elements (45) while safety was lowest (21).  Smart building technologies are still new to India and adopted primarily by large commercial buildings.  Indian developers are not ‘going green’ merely because more and more MNCs consider moving only into certified green office spaces. The demand for green office spaces is equally high among Indian corporates and some of the Indian MNCs have included green office spaces in the corporate sustainability objectives.  While developers have been doing their bit at the micro-level, Mr. Jain said “to integrate this under the ‘Smart City’ framework is the job of the policy-makers. The big challenge is to figure out how to integrate urban infrastructure with mass public transportation systems and e-governance to create self-sustaining cities.”

Will new guidelines enthuse start-ups to list their shares  The capital market regulator, SEBI has followed upon its March discussion paper and announced guidelines that should make capital market access easier for start-ups and new age companies.  As the SEBI chairman pointed out there has been a felt need on the part of the new age companies for a more liberal capital market listing regime than what obtains for most other companies seeking listing on the domestic exchanges.  That should also give an easier exit option for venture capital and others who have invested in the start-ups. Consequently there will be increased liquidity in the system.  The broad objectives outlined by SEBI are to create an enabling environment for the start-ups to flourish in India instead of depending on overseas exchanges as some of the more visibly successful ones have proposed. An offshore listing confers a lot of advantages, chiefly an opportunity to operate under a liberal capital market regime and access to a huge reservoir of capital.  It has been claimed that the new rules are part of an effort to create a domestic funding regime that reflects the thriving entrepreneurial scene in the country.  An important relaxation in the normal IPO rules relates to the use of funds raised. Start-ups listing on this platform will not face any restriction on the use of funds raised through public issues for general corporate purposes.  Further, the existing three year lock-in period for many categories of pre-issue shareholders has been relaxed. SEBI has now said that for start-ups the lock-in period will be for only six months for all categories of pre-issue shareholders.  75 per cent of the shares listed on the institutional trading platform will be available for institutional investors with only the balance 25 per cent available for non-institutional investors. The minimum transaction size will be Rs.10 lakh, both at the time of initial offer and subsequent trading. This is clearly meant to keep out the relatively small Weekly News and Analysis Byju’s Classes-9873643487 19 2015CA_025,026,027,028,029,030,001

investors. The logic is that the relatively better off investors will be able to assess the risks in what undoubtedly will be a new experience both for investors as well as regulators.  In another important stipulation, the guidelines specify that no person individually or acting in concert will be allowed to hold more than 25 per cent of the post-issue capital of the start-up.  The definition of QIBs has been extended to cover NBFCs, family trusts and other entities that register themselves as alternative investment funds.  The disclosure requirements so integral to an IPO has been diluted for the public issues of these start-ups. Over the years the SEBI has invested heavily sprucing up disclosure requirements, which by many yardsticks have come to be regarded as the bedrock of capital market regulation as applicable to primary market.  This and the stipulation to restrict the issue to the well heeled investors are the most significant reversals of recent capital market regulation.  The question is whether the 3,000 plus estimated start-ups will be enthused by the relaxation. It has been pointed that there are other factors that would influence a listing. For instance, a listing on Nasdaq or Singapore might by themselves enhance the business prospects of the listing company.  Secondly, should the regulator change track so significantly and whether the price of this liberalisation can be more than met through increased activity among start-ups.  Finally, laymen especially but regulators too might be flummoxed by the nature of business the tech start-ups are engaged in. The prospectus — even if one cares to read — will be a poor guide and because of the diluted disclosure requirements very little will be known about promoters. Rajan did not make alarmist remarks: RBI  The Reserve Bank of India clarified that Governor Raghuram Rajan did not say the world was at risk of another Great Depression.  The Press Trust of India had quoted the RBI Governor as saying “the question is are we now moving into the territory in trying to produce growth out of nowhere, we are in fact shifting growth from each other, rather than creating growth. Of course, there is past history of this during the Great Depression when we got into competitive devaluation.”  This ‘beggar-thy-neighbour’ strategy the Governor had referred to in his speech is what he termed ‘competitive monetary policy easing’— a likely product of the prolonged use of measures such as central banks holding interest rates at near zero, as well as policies that affect central bank balance sheets such as buying assets in certain markets so as to affect market prices.  Moreover, he added, policies that encourage sustained unidirectional capital outflows to other countries can be very debilitating for the recipient’s financial stability, over and above any effects on their competitiveness. 50 nations in, AIIB takes shape  India and 49 other founding members of the Asian Infrastructure Investment Bank (AIIB) signed articles that determine each country’s share and the lender’s initial capital.  The remaining seven founding members can sign the agreement before December 2015.  The AIIB is expected to focus on infrastructure development in Asia, and unlike the existing International Monetary Fund and World Bank, is unlikely to restrict lending on political considerations.  The Bank will be headquartered in Beijing, and will have an initial authorised capital stock of $100 billion.  Reflecting regional character of the Bank, its regional members will be the majority shareholders, holding around 75 percent of shares.  The AIIB is expected to become operational by the end of the year.  With Japan, the other large Asian economy besides China, opting out of the Bank’s membership, India is its second largest shareholder with a stake of 8.52 per cent and voting share of 7.5 per cent.  The voting shares are based on the size of each member country’s economy and not contribution to the Bank’s authorised capital. China’s shareholding is 30.34 per cent and it has retained 26.06 per cent of the voting rights with veto powers for certain key decisions.  Apart from China and India, some of the countries which signed the agreement include Australia, Bangladesh, Brazil, Cambodia, Finland, France, Germany, Italy, Jordan, Nepal, Netherlands, New Zealand, Norway, Pakistan, Portugal, Republic of Korea, Russia, Saudi Arabia, Singapore, Spain, Sri Lanka, Sweden, Switzerland, and the U.K. Centre seeking solution to WTO subsidy cap issue  Commerce Secretary Rajeev Kher told reporters that India is striving to ensure that a permanent solution to the issue of the Centre’s minimum support prices to farmers breaching the World Trade Organisation’s (WTO) permissible caps for subsidies is found by December 31.  Mr. Kher said that though India had already bagged immunity against action by other countries in case of breaches of the WTO caps, India still wants a permanent solution as only that will bring predictability and symmetry.  India is striving to get the issue included in the work programme for the next Ministerial meeting of the WTO scheduled to be held in December in Nairobi.  Ending months-long deadlock, the WTO’s General Council, the highest decision-making body of the organisation, had accepted India’s demand for extending the peace clause till a permanent solution is found for its food stockpiling issue.  This has enabled India to continue to procure and stock foodgrain for distribution to the poor under its food security programme without attracting action from WTO members even if it breaches the 10 per cent subsidy cap as prescribed by the multilateral trade body. 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 However, for a permanent solution to the food security issue, India’s stand has been that the WTO update the reference price of 1986-88 that is used in the formula for calculating the food subsidy cap or exempt schemes from the purview of subsidy caps.  Mr. Kher also said that India wants all the pending issue of Doha Round on the table at the Nairobi Ministerial. The Doha Round of negotiations launched in 2001 has remained stalled since July 2008 due to differences between the rich and the developing nations mainly over subsidies given to farmers. Concerns over risk in Algorithm trading  Financial regulators are alarmed by the increasing clout of algorithm trading or high frequency trading (HFT) and fear that it could result in a systemic failure.  The Financial Stability Report (FSR) June 2015 aired serious concerns on algorithm trading or algo trading leading to stock price manipulation as well as alienate retail or small investor from stock markets.  The report is a collective assessment of a sub-committee of the Financial Stability and Development Council, which includes all financial market regulators.  While volumes have increased sharply in the cash segment of stock markets in India, there is a concern whether markets could be rigged through these trades.  Algo trading has undergone a substantial change with the development in information processing and communications technologies over the last two to three decades.  Algo trading was introduced in India in April 2008 with the advent of direct market access (DMA).  Though these trades are monitored by the Securities and Exchange Board of India (SEBI), which is mandated to protect the interests of small investors, the FSR report expressed apprehensions that they could result in market manipulation.  The report also pointed fingers at certain instances of abnormal market movements in Indian stocks which have been attributed, by market experts, to algo trading/HFT.  The increasing volume of algo trades/HFT and their attendant risks have forced regulators the world over to have a closer look at gaps in the existing regulations and explore ways of strengthening them.  The algo trading system too has the capacity of being harnessed for the betterment of the market with greater liquidity, finer spreads and less volatility, say experts, adding, “the new technology needs to be embraced and harnessed for prevention of abuse rather than be shunned for fear of the unknown.”  However, the moot question remains whether Indian markets are matured enough to embrace algo or high frequency trades?  While huge institutional investors will be able to take advantage of arbitrage of micro and nano-seconds, by engaging in high frequency trades, the interest of retail investors could be jeopardised. Admission surge: As India Inc adopts ITIs, students make a beeline  The number of enrollments in Industrial Training Institutes or ITIs has seen an incremental surge of over 20 per cent in 2014-15, as against a nearly flat growth observed in each of two preceding years.  The surge in enrollments last fiscal was driven mainly by the better performing ITIs where industry is actively involved as a participant, including the ones supported by auto majors Maruti Suzuki and Mahindra & Mahindra as well as those where utilities such as NTPC Ltd are partners.  The surge is despite a total of 103 ITIs being de-affiliated during the last two financial years due to non conformity with National Council on Vocational Training norms.  The fee system for ITIs was changed since the introduction of the semester system since the August 2013 session and the examination under the above pattern has been conducted since February 2014 onward.  The biggest contributor, though, is positive industry partnership. Maruti Suzuki – the country’s largest carmaker, is working on plans to scale up its skill development activities across ITIs by setting up Automobile Skill Enhancement Centres or ASEC at 45 government-run ITIs across the country.  The trainees will be free to seek employment in any workshop, including those not servicing Maruti Suzuki vehicles  The involvement of third party monitoring agencies to carry out verification of infrastructure of vocational training providers, credentials of students, trainers and assessors, curriculum compliance and training delivery and assessment processes, is another reason being attributed for the improvement in the perception of government’s skill development institutions. Studies conducted earlier bear this out.  In the Skill Development Report of National Skill Development Corporation and KPMG, 460 million is the demand of human resource across the 24 sectors including construction, IT, Textiles & Clothing, Food Processing, Retail, etc. in 2013. This number is expected to reach to 580 million by 2022 —a combination of entry level workforce as well as the existing workforce, which would need to be freshly skilled and upskilled.  As it works to expand skilling programmes through vocational training institutes such as the ITIs and technical colleges, the Centre is also planning a scheme for entrepreneurship development that would introduce specific courses in at least 5,000 colleges over the next three years. The scheme, besides focussing on colleges, also plans to target schools for building awareness as entrepreneurship as a career option. Core sector registers 4.4 % growth in May  The index of eight core industries rose 4.4 per cent in May 2015 to 178.6, compared to its level in May 2014, the fastest seen since November 2014, and follows two straight months of contraction.  The eight core industries — coal, crude oil, natural gas, refinery products, fertilisers, steel, cement, and electricity — account for a combined weight of 37.9 per cent in the overall IIP. Weekly News and Analysis Byju’s Classes-9873643487 21 2015CA_025,026,027,028,029,030,001

 These signs of revival in the core industries of the economy imply that the performance of the IIP in April 2015 — accelerating to 4.1 per cent from 2.5 per cent in March — was not a blip and that the economy really is showing signs of recovery. Post AIIB, India to reduce banking on World Bank infra arm  The government is expected to reduce its commitment to the Global Infrastructure Facility of the World Bank following the setting up of the Asian Infrastructure Investment Bank (AIIB).  The twenty nations-led multilateral institutions will instead aim to take the pole position for infrastructure financing in the Asian region.  Led by China, the second largest voting share in the new bank is that of India.  A government official said the global infrastructure facility was too late in coming into operation. The World Bank finally set it up in October last year after a gestation of several years due to differences among other things on voting rights, which disappointed the Indian diplomats.  By contrast the AIIB has been fast. The Bank, to be headquartered in Beijing, is expected to be operational by next year.  The memorandum of understanding (MoU) specifies that its authorised capital will be $100 billion and the initial subscribed capital is expected to be around $50 billion.  Voting rights of the subscribing countries are to be decided after consultations among the members over fixing the bench marks which were expected to be combination of gross domestic product and purchasing power parity.  The bank is expected to complement the role of Manila-based Asian Development Bank, which had been the lone wolf with the coveted AAA-plus rating for raising funds in the most exciting infrastructure market in the world, Asia.

SCIENCE AND TECH Live near noisy roads at risk of early death, warns study  Living in an area with noisy road traffic may reduce life expectancy as well as increase the risk of strokes, scientists have warned.  The research led by the London School of Hygiene and Tropical Medicine, in partnership with Imperial College London and King’s College London, found a link between long-term exposure to road traffic noise and deaths, as well as a greater risk of stroke, particularly in the elderly.  They looked at levels of road traffic noise during the day (7 a.m. to 11p.m.) and at night (11 p.m. to 7 a.m.) across different postcodes, comparing the data to deaths and hospital admissions in each area for adults (aged 25 and over) and the elderly (aged 75 and over).  Deaths were four per cent more common among adults and the elderly in areas with daytime road traffic noise of more than 60 decibel (dB) compared with areas with less than 55 decibel (dB). Heart disease  The researchers said the deaths were most likely to be linked to cardiovascular disease. They said this could be due to increased blood pressure, sleep problems and stress. Breakthrough in treating leucoderma  In a first, a medication for treating rheumatoid arthritis has restored skin colour in a patient suffering from vitiligo.  Leucoderma is a condition that causes skin to lose its pigmentation or colour. As a result, people with vitiligo have white patches on the skin. In an advanced stage, most of the body skin can lose its pigmentation.  Current treatments, such as steroid creams and light therapy, fall short as they are “not reliably effective in reversing the disease.” Researchers from Yale University used an existing FDA-approved medication for rheumatoid arthritis called tofacitinib citrate to successfully treat a patient suffering from vitiligo.  Dr. Brett A. King, assistant professor of dermatology at Yale University School of Medicine and Brittany Craiglow, the two authors of the paper, administered tofacitinib citrate to a 53-year-old patient with prominent white spots covering her face, hands, and body. Quick result  According to a Yale School of Medicine press release, within two months of treatment, the patient experienced partial repigmentation on her face, arms, and hands. And after five months of treatment, the white spots on her face and hands had completely disappeared. The drug caused no adverse side effects in the patient.  What inspired the researchers to use the drug was its magical power in treating hair loss in a patient suffering from alopecia universalis condition. People with this condition tend to rapidly lose all hair on the body, including eyebrows and eyelashes.  The 25-year-old patient who had psoriasis was referred to Dr. King for psoriasis treatment. Since tofacitinib citrate had been used successfully for treating psoriasis in humans and had also reversed alopecia areata in mice, Dr. King used the drug on the patient.  After two months of treatment, some improvement was seen in his psoriasis condition and hair growth was seen on his scalp and face. His scalp hair had completely regrown and “clearly visible eyebrows, eyelashes, and facial hair, as well as armpit hair were seen” at the end of the fifth month. By end of the eighth month the patient had “full regrowth” of hair.  “Tofacitinib appears to spur hair regrowth in a patient with alopecia universalis by turning off the immune system attack on hair follicles that is prompted by the disease,” Dr. King had said in a release last year.  “The drug helps in some, but not all, cases of psoriasis, and was mildly effective in this patient’s case.” Weekly News and Analysis Byju’s Classes-9873643487 22 2015CA_025,026,027,028,029,030,001

Robot controlled by thoughts and brain signals developed  A robot that can be controlled with your thoughts and brain signals has been developed, says new research. The robot is developed by researchers at the Swiss Federal Institute of Technology (EPFL), Switzerland.  The robot can be controlled remotely through brain signals and can perform various tasks. The team of researchers, headed by Professor Jose del R. Millain, particularly had disabled people in mind while working on the concept to restore a sense of independence to the disabled.  Nine disabled people and 10 healthy people in Italy, Germany and Switzerland took part in the task of piloting a robot with their thoughts.  For several weeks, each of the subjects put on an electrode-studded hat capable of analysing their brain signals. They then instructed the robot to move, transmitting their instructions in real time via internet from their home country.  The person at the controls, as if moving in place of the robot, was able to interact with whoever the robot crossed paths with. “Each of the nine subjects with disabilities managed to remotely control the robot with ease after less than 10 days of training,” said Millain.  The brain-machine interface developed by the researchers goes even further. The robot is able to avoid obstacles by itself, even when it is not told to.  To avoid getting overly tired, the pilot can also take a break from giving indications. If it doesn’t receive more indications, the robot will continue on the indicated path until it receives the order to stop. The tests revealed no difference in piloting ability between healthy and disabled subjects.  In the second part of the tests, the disabled people with residual mobility were asked to pilot the robot with the movements they were still capable of doing, for example by simply pressing the side of their head on buttons placed nearby.  They piloted the robot just as if they were uniquely using their thoughts. “Will robots soon become a fact of daily life for people suffering from a disability? Too soon to say,” Milan said. “For this to happen, insurance companies will have to help finance these technologies,” he added. Light Combat Helicopter clears hot weather trial  The Light Combat Helicopter (LCH), being developed by the Hindustan Aeronautics Limited (HAL), has successfully completed week-long hot weather flight trials at Jodhpur.  It is expected to achieve Initial Operational Clearance (IOC) and enter series production by the end of the year.  “Test flights were carried out in the temperature range of 39 to 42 degrees Celsius. These were done with the involvement of customer pilots from the Indian Air Force and the Army in the presence of representatives from the Regional Centre for Military Airworthiness and the Directorate General of Aeronautical Quality Assurance,” T. Suvarna Raju, CMD of HAL said.  The LCH prototype TD-3 was ferried from Bengaluru to Jodhpur for the trials and the testing involved temperature survey of engine bay and hydraulic system, assessment of performance, handling qualities and loads at different all up weights, low speed handling and height-velocity diagram establishment.  The LCH is a 5.8-tonne, twin-engine, armed helicopter designed specifically to meet the requirements of the Army and the Air Force. DARPA to terraform Mars with human-engineered organisms  US defense scientists are planning to use genetically engineered algae, bacteria and plants to radically transform the climate of Mars and terraform it into an Earth-like planet.  Scientists from Defense Advanced Research Projects Agency (DARPA) aim to warm up and potentially thicken Mars’ atmosphere by growing green, photosynthesising plants, bacteria, and algae on the barren surface of the red planet.  For the last year, DARPA’s lab has been working on learning how to more easily genetically engineer organisms of all types, not just e coli and yeast, which are most commonly used in synthetic biology projects.  DARPA and some of its research partners have created software called DTA GView, on which genomes of several organisms can be pulled up, which immediately shows a list of known genes and where they are located in the genome.  The goal is to pick and choose the best genes from whatever form of life we want and to edit them into other forms of life to create something entirely new. This will probably first happen in bacteria and other microorganisms, but the goal may be to do this with more complex, multicellular organisms in the future.  DARPA plans to use specifically engineered organisms to help repair environmental damage.  That after a natural or man-made disaster, it would be possible to engineer new types of extremophile organisms capable of surviving in a scarred wasteland. As those organisms photosynthesised and thrived, it would naturally bring that environment back to health.  With enough practice turning Earth’s damaged landscapes back into places hospitable for life, DARPA thinks we’ll have what it takes to eventually try to colonise the solar system. SpaceX Falcon rocket explodes after Florida lift-off: NASA  An unmanned Space Exploration Technologies rocket exploded about two minutes after lift-off from Cape Canaveral Air Force Station in Florida, destroying a cargo ship bound for the International Space Station, NASA said.  SpaceX, as the company is known, is owned and operated by technology entrepreneur Elon Musk.  In April, a Russian Progress cargo ship also failed to reach the station.  Russia plans to launch a replacement Progress capsule.

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ENVIRONMENT NEWS Uma Bharti Launches Mobile App to Aid Clean Ganga Mission  Union Water Resources Minister Uma Bharti has launched the ‘Bhuvan Ganga Mobile Application’ to enable the public to collect and report information on various pollution sources that affect the water quality of the river.  The pictures would help the concerned authorities in taking further action.  The application and web portal were launched after the National Mission for Clean Ganga and the National Remote Sensing Centre, ISRO signed a MoU.  The application would help in planning and monitoring the Centre's flagship Clean Ganga Mission.

PERSONS IN NEWS Praful Bidwai passes away  Praful Bidwai, a veteran journalist, author and anti-nuclear activist has died in the Netherlands. He also wrote a number of books, including the ‘1999 New Nukes: India, Pakistan and Global Nuclear Disarmament’ His latest book on the crisis in the Indian Left was due to be released later this year.  After working as a senior editor for the Times of India for several years, Mr. Bidwai became a freelance commentator, writing for publications in India and abroad. He also wrote a regular column for Frontline and Hindustan Times for several years. Zaheer Abbas begins his term  Former Pakistan captain Zaheer Abbas has assumed the role of the ICC President on day three of the apex cricket body’s Annual Conference.  Beginning his one-year term, Zaheer thanked the ICC Board and the Full Council for confirming his nomination.  “I feel truly honoured to be appointed as the President of the governing body of our great game. This is the sport which has given us friendship, respect, recognition and an opportunity to serve our countries in different capacities. Personally speaking, it has given me more than I can ever possibly repay,” he said.  ICC chairman N. Srinivasan congratulated Zaheer on his appointment.  The ICC Council also approved the admission of the Serbia Cricket Federation (SCF) as its 58th Affiliate Member while agreeing to suspend the Affiliate Memberships of Morocco and Turkey, removing Brunei as Affiliate Member. Ghazal singer Vithal Rao, last court singer of Nizams, found dead in Hyderabad  The body of 85-year-old Pandit Vithal Rao, Ghazal singer and Sufi Kalam maestro from Hyderabad and one of the last court musicians of Nizams, was found at the mortuary of Gandhi Hospital in Hyderabad. The legendary singer had gone missing from Shirdi on May 29.  Vithal Rao Aatmaram Shivpurkar, respectfully called Guruji by his disciples, was suffering from Alzheimer’s disease.  1`Born in a family of singers in Hyderabad in 1930, Vithal Rao had started performing at the age of seven on All India Radio and had performed in the court of Nizam ruler Mir Osman Ali Khan in 1943. He had performed in over 10 countries in several international concerts.

AWARDS App to verify student identity wins tech contest  An app that verifies student identity and eliminates impersonators for online tests came out triumphant among over 1,400 entries in an online hackathon, one of the largest organised to showcase the innovative possibilities atop the Government’s ID platform Aadhaar.  Anantha Padmanabha, an employee of online financial services portal Bankbazaar.com who developed the student ID verification called TrueScholar, will get a prize money of Rs. 1 lakh for winning the hackathon.  A total of eleven ideas, including an app for use by Anganwadi workers and seeking to eliminate malnutrition in children, were shortlisted for final presentations.  The hackathon was conducted by the Unique Identification Authority of India (UIDAI), in collaboration with venture capital fund Angel Prime, tech firm Hacker Earth and IT industry body Nasscom. Aadhaar is a 12-digit individual identification number issued by the UIDAI.  Smart Chip employees Pankaj Chhabra, Supriya Saini, Ishrat Khan, Sachin Arora bagged the second place for Aadhaarical, an app that enables people to drive without any documents and allows complete verification in real-time via Aadhaar.  A successful showcase of technology on the Aadhaar platform doesn’t, however, guarantee it real-world success. That’s why the shortlisted teams are planning to showcase their products to the government and are looking for support, so that they don’t wither away post the competition. Scaling up  “We are glad to connect them with investors and mentors,” said Ravi Gururaj, chairman of Nasscom Product Council.  “If the idea is sticky enough, they will get a support from a network of investors, mentors and industry experts to convert these ideas into start-ups,” said Pramod Varma, chief architect of technology to UIDAI.

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SPORTS Ashwin breaks into top 10 of ODI bowlers’ rankings  Sanjay Swamy, who worked with the government on UIDAI and now runs Angel Prime, said, “Many of the participants will convert these innovations into business opportunities like start-ups and they may even get absorbed in private in tech firms as products.” The Bengaluru-based firm provided its technology platform to conduct the online hackathon.  Indian off-spinner Ravichandran Ashwin has jumped two places to the 10th position in the ICC bowler’s rankings issued.  Ashwin, who bagged six wickets in the three ODIs against Bangladesh, was India’s leading wicket-taker in the just- concluded three-match series against Bangladesh and is also the only Indian to feature in the top-10 list.  But Ashwin stayed well behind young Bangladesh left-arm pacer Mustafizur Rahman (13 scalps in 3 matches), who got an 88th rank in the chart led by Australia’s Mitchell Starc.  Bengal medium-pacer Mohammed Shami, who missed the series, which was India’s first bilateral loss to Bangaldesh (1-2), due to injury is the only other Indian bowler in the top-20 list at the 12th position.  In the batting chart, Virat Kohli tops the Indian player’s list at the fourth position as opener Shikhar Dhawan, who was the leading run-getter in the series with an accumulated score of 158, dropped a place to seventh.  Dhawan still stays well clear of skipper Mahendra Singh Dhoni, who occupies the eight spot in the table led by South Africa’s AB de Villiers.  Suresh Raina has also improved his ranking by two places to 18th. Leander Paes wins with 100th doubles partner to reach Aegon Open quarters  India’s tennis hero Leander Paes has added yet another milestone to his terrific career, which is full of achievements, as the veteran pro has now played with 100 different partners on the ATP circuit.  When Paes took court with Marcel Granollers at the Aegon Open in Nottingham, the Spaniard was his 100th partner. They reached the quarterfinals after eking out a 3-6 6-2 11-9 win over Treat Huey and Scott Lipsky.  Paes has been most successful with estranged partner Mahesh Bhuapthi with whom he won three of his eight men’s doubles Grand Slam titles. He won two each with Radek Stepanek and Lukas Dlouhy and one with Martin Damm, all of whom incidentally are from Czech Republic.  Paes is the 47th player to reach a century of doubles partners. Of these 100 partners, 71 played with him on the Tour level while 29 at the Challenger level.  “It means I’ve had a very long career. It’s quite intriguing in an individual sport like tennis to have actually had that many doubles partners. I always try to learn new tricks and keep reinventing myself.  Having new partners, I try to incorporate these in our practice sessions. Perhaps they want to learn from my volleys or movement at net or I want to learn from their baseline game or their return game. It’s been a very blessed journey to go through 25 years and 100 partners,” Paes said.  Paes also became just the eighth player to notch 700 match wins with victory in the Roland Garros first round last month but the first member of the club to have amassed more than 50 titles and 700 match victories.  “ “I’ve been very good at understanding the strengths and weaknesses of a human being and what I focus on is adapting myself.”  A former World No. 1 in the Emirates ATP Doubles Rankings, Paes, who turned 42 a week ago, is the sixth active member of the ‘100 Partners Club’, with Frank Moser (144), Andre Sa (119), Olivier Marach (109), Carlos Berlocq (104) and James Cerretani (104).  Paes also won seven mixed doubles Grand Slam titles – three with Cara Black, two with legendary Martina Navratilova and one each with Lisa Raymond and Martina Hingis. Hoop dreams for Satnam Singh: From Ludhiana to Dallas via NBA  Satnam Singh Bhamara wasn’t sure the Dallas Mavericks, or any other NBA franchise, would pick him. He had no inkling that he would be the first Indian draft in the world’s richest sporting league that, on an average, pays its players $4.9 million for a season.  “There was no real vibe, there were no hints that one team was more interested in me than the other,” Satnam said afterwards.  On Friday, the 7’2” teenager made history when the Mavericks picked him as the 52nd player in the 2015 National Basketball Association (NBA) Draft.  The belief that the Texan side showed in the 19-year-old mirrored the hope that a tiny hamlet in Punjab, by the name of Ballo Ke, had on the unusually tall kid who was very different from everybody in the village. Satnam wasn’t just tall, he dreamt big too.

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 “My son has added a few inches to my height with pride. We all knew he was made to do bigger things in life,” said Balbir Singh Bhamara, Satnam’s 56-year-old father, who stands an inch shorter than his son at 7’1”.  India’s very own hoop-dream story began about a decade ago, when Balbir’s misfit son was enrolled into the Ludhiana Basketball Academy. NBA wasn’t something the Bhamara household was aiming for, not at that point at least. They hadn’t even heard about the American league.

OPINION Difficulty with China  Lashkar-e-Taiba’s operational commander Zaki-ur Rehman Lakhvi — arrested for his role in the 2008 Mumbai terror attacks and included in December 2008 by the UN sanctions committee in the list of designated terrorists under UN Security Council Resolution 1267 (UNSCR 1267) — was released from a Pakistani prison on bail on April 10.  In May, India took Lakhvi’s release to the sanctions committee, popularly called the 1267 committee, where it argued that the committee needed to investigate who had paid or stood guarantee for Lakhvi’s bail, as he is on the sanctions list and has no access to funds.  In all the meetings of the 1267 committee held earlier, China reportedly ensured that the Indian proposal was not taken up.  Finally, in a meeting in New York on June 15, China used a “technical hold” to block the move against Lakhvi, saying that India has not provided “sufficient information” in support of its case.  The 1267 committee is made up of all 15 members of the Security Council and its meetings are closed-door. Because the committee officially takes decisions by consensus, the five permanent members often exercise their veto on proposals by placing a “technical hold”.  China has repeatedly invoked the “technical hold” to protect terrorists operating from Pakistani soil — the only exception being the case of Hafiz Saeed, Lakhvi and others after the Mumbai terror attacks.  Even then, Beijing did not agree to a US request to place four retired/ serving ISI officials on the 1267 list. This caused a frustrated US state department to say in a secret cable, later leaked by Wikileaks, that “on the international stage, Pakistan has sought to block the UNSCR 1267 listings of Pakistan-based or affiliated terrorists by requesting that China place holds on the nominations”.  During Prime Minister Narendra Modi’s recent visit to China, both countries had issued a joint statement affirming their shared commitment to fighting terror.  They had also “urged all countries and entities to work sincerely to disrupt terrorist networks and their financing, and stop cross-border movement of terrorists”.  China, evidently, is refusing to fulfil its promise. India can do little except sustain pressure on Beijing. But in the end, the answers to India’s problems with Pakistan cannot come from China. They can only come by engaging Pakistan directly. The earlier the Indian government does it, the better. Needed, a new urban vision  Prime Minister Narendra Modi launched his flagship Smart Cities Mission proclaiming that governmental intervention in planning the cities would be minimal. He referred to a “bottom-up approach”, but did not emphasise who exactly would benefit from the cities.  The approach suggests that India is breaking away from its Anglo-European architectural tradition, promoted by Jawaharlal Nehru in the 1960s with the projection of Chandigarh as a template for urban planners.  Nehru’s aim was to create mixed-income cities with easy access to community infrastructure and to institutions such as the judiciary, the legislature and the executive. But Mr. Modi’s urban-planning approach contradicts that view and largely resonates with American-style urbanism. The government is putting the spotlight on smart cities and allowing the business community to lead the development. Let us take an example in the U.S. to figure out who could benefit from the new urban plans in India.  In New York City, most of the commercial and residential buildings from uptown to downtown Manhattan are inhabited by the rich who can afford the huge rents. They have installed biometric security systems to keep the ‘unwanted people’ — that is, the poor — at bay.  The city government has largely outsourced the public services to private companies, which are replacing the labour force with mechanised technology. As a result, the job market has become saturated. The unskilled workforce is caught up in a low-wage job cycle.  Before pushing India on to a similar American path, Prime Minister Modi must step back and re-think whether his government should invest in smart cities, or rather empower the existing urban centres by means of policies that cater to poor and middle class Indians.  For instance, at present almost every Indian city faces sanitation issues due to the absence or inadequacy of drainage networks. The migration of people from rural areas to the urban peripheries continues at a rapid pace, resulting in the mushrooming of slums and unauthorised colonies.  According to Census 2011, some 65 million people live in slums. The government’s response to the issue in terms of planning to build affordable housing for them is short-sighted. Smart cities would simply institutionalise the disparity within the cities instead of filling the lacunae.  The last decade of urbanisation did change the academic and policy consensus toward urban centres, but ignored the fringes of these centres where those from the poor and the lower-middle class who came in a large influx ended up.

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 In Delhi, the government passed on powers to residents’ welfare associations, which now decide on the choice of basic civic matters — and they always give preference to their own gated communities.  Mr. Modi must take a forward-looking stance when it comes to developing urban India. Otherwise, the glossy vision of building smart cities could end up triggering a process of social apartheid. The promise of freight corridors  The much-delayed project to build the ambitious eastern and western dedicated freight corridors has received a boost with the Cabinet Committee on Economic Affairs approving a revised cost estimate for it.  At Rs.81,459 crore, the figure is more than double the originally estimated Rs.28,181 crore. The 1,839-km-long eastern corridor will connect Ludhiana in Punjab with Dankuni in West Bengal.  It will have two components, a double-track section and a single-track segment, both electrified. It will cut across six States. The eastern corridor will cater to traffic streams including coal, finished steel, cement and fertilizer.  The western corridor will cover nearly 1,500 km, connecting the Jawaharlal Nehru Port near Mumbai with Dadri, and passing through States such as Haryana, Rajasthan, Gujarat and Maharashtra.  A substantial portion of the revised cost will be met by way of debt from multilateral institutions such as the Japan International Cooperation Agency and the World Bank. The equity requirement of the Railways will be around Rs.23,796 crore.  Dedicated Freight Corridor Corporation of India Ltd., the special purpose vehicle set up by the Railways to implement the project, is keen to complete it by 2017-18. Once the twin-corridor system is in place, it will transform the very profile of the Railways.  A host of positive outcomes, such as reduction in transportation costs and stepped-up commercial activity, benefiting a range of core industries, could flow from it. This could in turn have a multiplier effect on the economy.  Poor infrastructure has been a principal worry for Indian industry. More often than not, this has affected its ability to be efficient providers of goods and services. End-consumers have been forced to pay for the collective inefficiency.  The twin-corridor project was conceived in 2005 and was approved by the Congress-led United Progressive Alliance government in 2008. The huge cost overruns owing to the time lapse tell their own tale, and reflect the massive challenge facing policy-planners in pushing through a project of this size and magnitude that has inter-State implications.  From a slow decision-making process to roadblocks to land acquisition, there are problems aplenty in the way ahead for the project. No doubt, land acquisition is turning out to be a touchy political issue.  Prevarication on the decision-making front will hurt the viability of even soundly conceived projects. The Narendra Modi-led government would do well to ensure that the twin-corridor project goes through without any further delay.  The key to doing so will lie also in taking along the States concerned. On Your Marks  The UGC’s most significant recent effort to reform higher education is the new guidelines issued for the introduction of a choice-based credit system (CBCS) in colleges and universities across the country.  The guidelines apply to “all undergraduate and postgraduate level degree, diploma and certificate programmes,” offered by “Central, state and deemed-to-be-universities in India”.  The UGC wants institutions to implement the new system from the 2015-16 academic year.  There is no doubt that significant curricula reform is needed in higher education, particularly at the undergraduate level. For decades, undergraduate education has been focused on a single-discipline approach.  Under the new CBCS, students will be able to select courses from a range of disciplines and have them count towards their degree.  The new system also opens up the opportunity for student mobility, allowing students to transfer credits earned in one institution to another; and for programme portability, allowing movement from one degree programme to another.  These will be achieved through the introduction of a uniform system of counting credits (which replaces the “papers” system), a uniform evaluation system based on grade points (replacing the “marks” system), and a uniform semester- based academic year (which replaces the “year-long” pattern).  This establishes parity within and across institutions; between Indian higher educational institutions and many international ones. I  n principle, this new system should also provide employers and post-graduate institutions better standards to compare undergraduate students and their institutions.  But three significant structural changes are imperative.  First, degree completion requirements need to be made “credit-based” and not “time-based”. Current UGC regulations stipulate the minimum number of three years to complete a degree in arts and the sciences.  However, after the FYUP controversy, the UGC has interpreted its own guidelines as setting the maximum number of years required to complete a degree and has attempted to shut down programmes that require four years.  Rather than focusing on the number of years, the CBCS should focus on the minimum number of credits required to obtain a degree. Such flexibility will give students real opportunities for inter-disciplinary learning, which will often require more than three years of study.  Second, the UGC must clarify how and under what circumstances students will be allowed to take courses at other institutions. Will a student enrolled in a degree programme in a college be allowed to take courses at another college affiliated to the same university? Will she be allowed to take courses at a college affiliated to a different university? Will she be allowed transfer to another college/ university in a different state? Weekly News and Analysis Byju’s Classes-9873643487 27 2015CA_025,026,027,028,029,030,001

 Third, the national accreditation process must be made mandatory for all institutions covered by the CBCS. For credit transfer to be effective and meaningful, we must have some measure of the relative quality of the institutions participating in the system.  To make such fundamental changes, detailed preparations are essential.  These include issues such as determining the number of hours of classroom and lab instruction required for a course, ensuring that the course material is consistent with the stipulated credit hours, etc.  Institutions will need to determine the appropriate teaching-load for their faculty.  They will also need to implement effective student advisory systems to guide students. Academic advising is a key component of successful CBCSs and most Indian institutions have little experience in this area.  The UGC, however, needs to assess the readiness of our universities and colleges before requiring them to introduce the CBCS.  The most positive aspect of the CBCS is its student-centricity. It recognises the importance of individual learning, wherever and whenever it is achieved.  This is the defining idea behind the new system. It treats students as individuals who have independent academic needs and interests, and CBCS, if properly implemented, has the potential to empower them. Opening up legal services  The government’s proposal to open up the legal services sector to foreign participation in a limited way may mark the end of India’s policy of barring international law firms from entering the country and of keeping domestic firms and lawyers insulated from the growing global market for trade in legal services.  The government says it has both the Bar Council of India and the Society of Indian Law Firms (SILF) on board.  The proposed entry of foreign firms will be limited to aspects other than litigation and to international commercial arbitration.  The presence of overseas lawyers in forums of litigation is of course ruled out. It is unlikely that foreign firms will be interested in litigation work, which is by and large organised and regulated on national lines.  Further, unless there is reciprocity with regard to recognition of legal qualifications among member-countries, it will not be possible for visiting legal professionals to overcome basic eligibility norms.  Ever since the General Agreement on Trade in Services was adopted by member-countries of the World Trade Organisation (WTO), the potential for legal professionals to offer services outside their national jurisdiction has expanded exponentially.  Apart from drafting of agreements and contracts and rendering general advice to overseas clients on domestic legal regimes and frameworks, advocates and law firms now play a big role in starting new businesses, mergers and acquisitions, advising on investments, complying with regulations and obtaining clearances.  At the same time, there has been disquiet in the legal fraternity about the possible adverse implications of the entry of foreign firms which, presumably, are better organised and have better resources to corner the legal services market.  The courts have so far said foreign firms cannot practise in India without adhering to the Advocates’ Act. However, the Madras High Court has allowed overseas professionals to fly in to offer advice to clients on international legal issues, and participate in international commercial arbitration.  The matter is now in the Supreme Court, but if the government can carry the legal fraternity along on its proposals, India will be in a position to benefit from opening up the sector.  However, all stakeholders must see to it that it does not have an adverse impact either on the cost of litigation or on the livelihood of hundreds of thousands of people enrolled as advocates in the country.  A key consideration would be whether India ought not to try and get a share in the estimated $20-billion global annual trade in legal services. The country now has better law schools and a vast pool of legal talent; there is no reason why it should not succeed. Building India 2.0  The Narendra Modi government’s Digital India claim and programme — following on the heels of Make in India and Skill India — is three-pronged.  One, it aims to build infrastructure and provide the internet as a utility to every citizen.  Two, it promises to improve service delivery by making services available online.  And three, it seeks to enable people to access the internet by building digital literacy.  This is an unexceptionable set of goals, welcome in its breadth of ambition. It looks to both expand the physical broadband network and universalise access to mobile internet, which has been the prime driver of growth in internet penetration in the last decade.  Among the new initiatives aimed at reducing paperwork is the Digital Locker, which allows users to upload and store documents that can be shared with government agencies to expedite official applications for, say, marriage licences or LPG connections.  Aadhaar card holders will be able to authenticate documents using eSign, a digital signature application.  Another portal is eHospital, which will let citizens avail health services online, also issuing a unique health identification number piggybacked to Aadhaar.  As a utility, the internet has tangible value. It could reduce leakages in welfare schemes and provide huge economic benefits by enabling better decision-making with improved access to information and markets.  Yet, there are several challenges, not least of them is bringing the digitally unempowered majority online.

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 Despite years of plans and schemes, attempts to connect remote rural areas to the internet have faltered. Today, only 9 per cent of those who live in rural areas have access to the internet, compared to 64 per cent of those who live in cities.  The UPA’s 2006 National Optical Fibre Network project to connect more than two lakh gram panchayats was sluggish from the start, and lagged five years behind schedule by 2013. The project has been subsumed under Digital India but the government is laying only 500 km of fibre optic cable a month — way behind the stated goal of 30,000 km every month.  Then there is the lack of a legal framework to address concerns over privacy and data protection. Much of what passes for internet governance is a function of crisis management, where legal and political systems struggle to respond to the gaps that innovative uses of technology have laid bare.  India is in the unenviable position of being extremely vulnerable to cyber attacks — which does not inspire confidence in individuals or corporations that the government will be able to protect sensitive data. Without this assurance, take- up of government apps and services is sure to underwhelm.  India also lacks a privacy law, without which initiatives like Digital Locker and eHospital are open to flagrant misuse by the state.  Finally, getting stakeholders to buy in could be a trial. As other programmes launched with much fanfare, like Swachh Bharat, have shown, it is difficult to sustain the initial impetus if surrounding structures are not sufficiently built up.

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