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Time: 45 min Date : 28-05-20221

India & Foreign Relations

Currency Swap Between Bangladesh And Sri LankaGS2/Effect of Policies & Politics of Developed & Developing Countries on India’s Interests

In News : Recently, Bangladesh’s central bank has approved a $200 million currency swap facility to Sri

Lanka.

Major Highlights ● A currency swap is effectively a loan that Bangladesh will give to Sri Lanka in dollars, with an

agreement that the debt will be repaid with interest in Sri Lankan rupees.

● For Sri Lanka, this is cheaper than borrowing from the market. The period of the currency swap will be specified in the agreement.

● Both sides have to formalise an agreement to operationalise the facility approved by Bangladesh Bank. It will help Colombo tide over its foreign exchange crisis.

● Bangladesh has become the first South Asian country to extend crucial financial assistance to Sri Lanka this year.

● It is also the first time that Sri Lanka is borrowing from a SAARC country other than India.

Why does Sri Lanka need this?● Sri Lanka struggles to maintain adequate forex reserves even as repayment of its external debts

looms.

● Sri Lanka, staring at an external debt repayment schedule of $4.05 million this year, is in urgent need of foreign exchange. Its own foreign exchange reserves in March year stood at $4 million.

● The tourism industry destroyed since the 2019 Easter attacks, Sri Lanka had lost one of its top foreign exchange pullers even before the pandemic.

● The tea and garment industries have also been hit by the pandemic affecting exports. Remittances increased in 2020, but are not sufficient to pull Sri Lanka out of its crisis.

● The country is already deep in debt to China. In April, Beijing gave Sri Lanka a $1.5 billion currency swap facility. Separately, China, which had extended a $1 billion loan to Sri Lanka last year, extended the second $500 million tranches of that loan.

● Sri Lanka also inked a $500 million loan agreement with the EXIM Bank of Korea.

NEXT A currency swap is effectively a loan that Bangladesh will give to Sri Lanka in dollars, with an

NEXT A currency swap is effectively a loan that Bangladesh will give to Sri Lanka in dollars, with an hat the debt will be repaid with interest in Sri Lankan rupees.

NEXT hat the debt will be repaid with interest in Sri Lankan rupees.

For Sri Lanka, this is cheaper than borrowing from the market. The period of the currency swap

NEXT For Sri Lanka, this is cheaper than borrowing from the market. The period of the currency swap will be specified in the agreement.

NEXT will be specified in the agreement.

Both sides have to formalise an agreement to operationalise

NEXT Both sides have to formalise an agreement to operationalise Bank. It will help Colombo tide over its foreign exchange crisis.

NEXT Bank. It will help Colombo tide over its foreign exchange crisis.

Bangladesh has become the first South Asian country to extend crucial financial assistance to Sri

NEXT Bangladesh has become the first South Asian country to extend crucial financial assistance to Sri Lanka this year.

NEXT Lanka this year.

It is also the first time that Sri

NEXT It is also the first time that Sri Lanka is borrowing from a SAARC country other than India.

NEXT Lanka is borrowing from a SAARC country other than India.

Why does Sri Lanka need this?

NEXT Why does Sri Lanka need this?

NEXT Sri Lanka struggles to maintain adequate forex reserves even as repayment of its external debts

NEXT Sri Lanka struggles to maintain adequate forex reserves even as repayment of its external debts looms.

NEXT looms.

●

NEXT ● Sri Lanka, staring at an external debt repayment schedule of

NEXT Sri Lanka, staring at an external debt repayment schedule of need of foreign exchange. Its own foreign exchange reserves in March year stood at $4 million.NEXT need of foreign exchange. Its own foreign exchange reserves in March year stood at $4 million.

● NEXT ● The tourism industry destroyed since the 2019 Easter attacks, Sri Lanka had lost one of its top NEXT

The tourism industry destroyed since the 2019 Easter attacks, Sri Lanka had lost one of its top foreign exchange pullers evNEXT foreign exchange pullers ev

● NEXT ● The tea and garment industries have also been hit by the pandemic affecting exports. Remittances NEXT

The tea and garment industries have also been hit by the pandemic affecting exports. Remittances increased in 2020, but are not sufficient to pull Sri Lanka out of its crisis.NEXT increased in 2020, but are not sufficient to pull Sri Lanka out of its crisis.

The country is already deep in debt to China. In April, NEXT

The country is already deep in debt to China. In April,

IASIASIASIASDate : 28

IASDate : 28-

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IAS-20221

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IASIASIASIASIndia & Foreign Relations

IASIndia & Foreign Relations

Currency Swap Between Bangladesh And Sri Lanka

IASCurrency Swap Between Bangladesh And Sri LankaGS2/Effect of Policies & Politics of Developed & Developing Countries on IASGS2/Effect of Policies & Politics of Developed & Developing Countries on India’s InterestsIASIndia’s Interests

Recently, Bangladesh’s central bank has approved a $200 million currency swap facility to Sri IASRecently, Bangladesh’s central bank has approved a $200 million currency swap facility to Sri

A currency swap is effectively a loan that Bangladesh will give to Sri Lanka in dollars, with an IASA currency swap is effectively a loan that Bangladesh will give to Sri Lanka in dollars, with an

hat the debt will be repaid with interest in Sri Lankan rupees. IAShat the debt will be repaid with interest in Sri Lankan rupees. IASIAS

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What is a Currency Swap? ● The Currency Swap Agreement means the contract for the exchange of Currencies at

predetermined Terms and Conditions.● It is like an open-ended Credit Line from one country to another● The Interest rates are charged as per standard benchmarks like LIBOR, etc

Benefits:● It helps to meet short term foreign exchange liquidity requirements.● It also ensures adequate foreign currency to avoid the Balance of Payments (BOP) crisis till

longer arrangements can be made.

India's response to Sri Lanka demand ● India extended a $400 million currency swap facility from the Reserve Bank of India to Srilanka –

it was settled in February 2021 after an extension.● It is yet to respond to Sri Lanka’s year-old request for an additional $1.1 billion currency swap

facility.● The Currency Swap Agreement and its extension in the case of Sri Lanka is a reconfirmation of

India’s Adherence to the Gujral Doctrine while dealing with neighbours as well as a rule-based currency regime.

● The RBI also offers similar swap lines to central banks in the SAARC region within a total corpus of $2 billion.

About SAARC Currency Swap Facility● RBI has a framework under which it can offer credit swap facilities to SAARC countries within

an overall corpus of $2 billion.● According to RBI, the SAARC currency swap facility came into operation in November 2012

with the aim of providing to smaller countries in the region “a backstop line of funding for short-term foreign exchange liquidity requirements or balance of payment crisis till longer-term arrangements are made

● Swap drawls can be made in US Dollar, Euro or Indian Rupee.● If swap currency is in Indian Rupees, certain concessions may be extended.● Any SAARC member can avail of this facility subject to their signing of bilateral Swap

agreements Valid from 2019 to 2022.Gujral Doctrine

● It is a set of five principles to guide the conduct of foreign relations with India’s immediate

neighbours.○ These five principles arise from the belief that India’s stature and strength cannot be

isolated from the quality of its relations with its neighbours.● These principles are:

NEXT The Currency Swap Agreement and its extension in the case of Sri Lanka is a reconfirmation of

NEXT The Currency Swap Agreement and its extension in the case of Sri Lanka is a reconfirmation of India’s Adherence to the Gujral Doctrine while dealing with neighbours as well as a rule

NEXT India’s Adherence to the Gujral Doctrine while dealing with neighbours as well as a rule

The RBI also offers similar swap lines to central banks in the SAARC region within a total corpus

NEXT The RBI also offers similar swap lines to central banks in the SAARC region within a total corpus

NEXT About SAARC Currency Swap Facility

NEXT About SAARC Currency Swap Facility

NEXT RBI has a framework under which it can offer credit swap facilities to SAARC countries within

NEXT RBI has a framework under which it can offer credit swap facilities to SAARC countries within

NEXT

NEXT an overall corpus of $2 billion.

NEXT an overall corpus of $2 billion.

NEXT According to RBI, the SAARC currency swap facility came into operation in November 2012

NEXT According to RBI, the SAARC currency swap facility came into operation in November 2012

NEXT with the aim of providing to smaller countries in the region “a backstop line of funding for short

NEXT with the aim of providing to smaller countries in the region “a backstop line of funding for short

NEXT term foreign exchange liquidity req

NEXT term foreign exchange liquidity req

NEXT arrangements are made

NEXT arrangements are made

NEXT ●

NEXT ● Swap drawls can be made in US Dollar, Euro or Indian Rupee.

NEXT Swap drawls can be made in US Dollar, Euro or Indian Rupee.

NEXT ● NEXT ● If swap currency is in Indian Rupees, certain concessions may be extended.NEXT

If swap currency is in Indian Rupees, certain concessions may be extended.NEXT ● NEXT ● Any SAARC member can avail of this facilityNEXT

Any SAARC member can avail of this facilityNEXT agreements Valid from 2019 to 2022.NEXT agreements Valid from 2019 to 2022.NEXT

Gujral DoctrineNEXT Gujral DoctrineNEXT

● NEXT

● It NEXT

It is a set of five principles to guide the conduct of foreign relations with India’s immediate NEXT

is a set of five principles to guide the conduct of foreign relations with India’s immediate NEXT

neighbours.NEXT

neighbours.NEXT

NEXT

NEXT

NEXT IASIASIASIASIASIASIt also ensures adequate foreign currency to avoid the Balance of Payments (BOP) crisis till

IASIt also ensures adequate foreign currency to avoid the Balance of Payments (BOP) crisis till

IASIASIASIASIASIndia extended a $400 million currency swap facility from the Reserve Bank of India to Srilanka IASIndia extended a $400 million currency swap facility from the Reserve Bank of India to Srilanka

request for an additional $1.1 billion currency swap IASrequest for an additional $1.1 billion currency swap

The Currency Swap Agreement and its extension in the case of Sri Lanka is a reconfirmation of IASThe Currency Swap Agreement and its extension in the case of Sri Lanka is a reconfirmation of India’s Adherence to the Gujral Doctrine while dealing with neighbours as well as a ruleIASIndia’s Adherence to the Gujral Doctrine while dealing with neighbours as well as a rule

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○ India does not ask for reciprocity but gives and accommodates what it can in good faith and trust with neighbours like Bangladesh, Bhutan, Maldives, Nepal and Sri Lanka.

○ No South Asian country should allow its territory to be used against the interest of another country of the region.

○ No country should interfere in the internal affairs of another.○ All South Asian countries must respect each other’s territorial integrity and sovereignty.

○ They should settle all their disputes through peaceful bilateral negotiations.

International Relations

EU puts Sanctions on BelarusTags: GS 2, International Organisations & Groupings, United Nations, its Bodies & Agencies, European Union, Important International Institutions.In News: Recently, the European Union (EU) has put sanctions on Belarus and cut off its aviation links.

● Belarus was part of the USSR before its disintegration in 1991 and lies on the flight path of routes within Europe and between Europe and Asia.

Background● Belarus authorities scrambled a fighter jet (Soviet-era MiG-29) which escorted a Ryanair-operated

passenger plane flying from Athens to Lithuania.● The plane was suddenly diverted to Minsk (capital of Belarus), on the pretext of what turned out to

be a false bomb alert, where authorities detained Roman Protasevich who had been on board.○ Protasevich is a Lithuania-based journalist. He is wanted in Belarus on extremism charges

and stands accused of organising mass riots and of inciting social hatred.● EU member state Lithuania urged the EU and the North Atlantic Treaty Organisation (NATO) to

respond.EU’s Reaction

● It called on the International Civil Aviation Organization (ICAO) to urgently investigate Belarus forcing a Ryanair plane to land in Minsk on a Greece-Lithuania flight.

● EU leaders met in Brussels and called for Belarusian airlines to be banned from the EU’s airspace

and urged EU-based carriers to avoid flying over Belarus.● They agreed to widen the list of Belarusian individuals they already sanction.● The EU and other Western countries also called for the release of Mr. Protasevich.● Criticisms

○ The EU has no authority over flights taking off and landing in Belarus or flying over its airspace, apart from direct flights that originate or land in Europe.

○ Also, ICAO does not have any regulatory powers over the airspace.● Skirting Belarus will slow flights down and cost airlines money.

NATO’s Reaction

● It has officially condemned the forced diversion and has called for an urgent independent investigation by the ICAO.

NEXT Belarus was part of the USSR before its disintegration in 1991 and lies on

NEXT Belarus was part of the USSR before its disintegration in 1991 and lies on within Europe and between Europe and Asia.

NEXT within Europe and between Europe and Asia.

Belarus authorities scrambled a fighter jet (Soviet

NEXT Belarus authorities scrambled a fighter jet (Soviet-

NEXT -era MiG

NEXT era MiGpassenger plane flying from Athens to Lithuania.

NEXT passenger plane flying from Athens to Lithuania.The plane was suddenly divert

NEXT The plane was suddenly divert

NEXT ed to Minsk (capital of Belarus), on the pretext of what turned out to

NEXT ed to Minsk (capital of Belarus), on the pretext of what turned out to

be a false bomb alert, where authorities detained Roman Protasevich who had been on board.

NEXT be a false bomb alert, where authorities detained Roman Protasevich who had been on board.

Protasevich is a Lithuania

NEXT Protasevich is a Lithuania-

NEXT -based journalist. He is wanted in Belarus on extremism charges

NEXT based journalist. He is wanted in Belarus on extremism charges

stands accused of organising mass riots and of inciting social hatred.

NEXT stands accused of organising mass riots and of inciting social hatred.

EU member state Lithuania urged the EU and the North Atlantic Treaty Organisation (NATO) to

NEXT EU member state Lithuania urged the EU and the North Atlantic Treaty Organisation (NATO) to

EU’s Reaction

NEXT EU’s Reaction

It called on the International Civil Aviation Organization (ICAO) to

NEXT It called on the International Civil Aviation Organization (ICAO) to forcing a Ryanair plane to land in Minsk on a Greece

NEXT forcing a Ryanair plane to land in Minsk on a Greece

●

NEXT ● EU leaders met in Brussels and called for Belarusian airlines to be banned from the EU’s airspace

NEXT EU leaders met in Brussels and called for Belarusian airlines to be banned from the EU’s airspace

and urged EU

NEXT and urged EU-

NEXT -based carriers to avoid flying over Belarus.

NEXT based carriers to avoid flying over Belarus.

● NEXT ● They agreed to widen the list of Belarusian individuals they already sanction.NEXT

They agreed to widen the list of Belarusian individuals they already sanction.● NEXT ● The EU and other Western countries also called for the release of Mr. Protasevich.NEXT

The EU and other Western countries also called for the release of Mr. Protasevich.● NEXT ● CriticismsNEXT

Criticisms○NEXT ○ The EU has no authority over flights taking off and landing in Belarus or flying ovNEXT

The EU has no authority over flights taking off and landing in Belarus or flying ovairspace, apart from direct flights that originate or land in Europe.NEXT airspace, apart from direct flights that originate or land in Europe.

○NEXT

○

IASIASIASach other’s territorial integrity and sovereignty.

IASach other’s territorial integrity and sovereignty.

IASThey should settle all their disputes through peaceful bilateral negotiations.

IASThey should settle all their disputes through peaceful bilateral negotiations.

IASIASGS 2, International Organisations & Groupings, United Nations, IASGS 2, International Organisations & Groupings, United Nations, its Bodies & Agencies, European IAS

its Bodies & Agencies, European

Recently, the European Union (EU) has put sanctions on Belarus and cut off its aviation links.IASRecently, the European Union (EU) has put sanctions on Belarus and cut off its aviation links.

Belarus was part of the USSR before its disintegration in 1991 and lies on IASBelarus was part of the USSR before its disintegration in 1991 and lies on the flight path of routes IAS

the flight path of routes

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● It held that the detention of Pratasevich was an affront to the principles of political dissent and freedom of the press and called on Belarus to respect fundamental human rights and freedoms and to abide by the rules-based international order.

European Union● It is a single market, customs union and a supranational institution of 27 member countries.

○ The United Kingdom, earlier part of the union, officially got out through Brexit.● It has four types of freedom of movements: Goods, Services, People and Capital.● The Maastricht Treaty, signed in 1993, forms the constitutional basis of the EU.● The Lisbon Treaty, which was signed in 2007, amended existing treaties such as the Maastricht

treaty.○ Article 50 of Lisbon Treaty introduced a procedure for a member state to withdraw

voluntarily from the EU.North Atlantic Treaty Organisation

● It is an intergovernmental military alliance established by the North Atlantic Treaty (also called the Washington Treaty) of 4th April 1949.

○ It was signed by the US, Canada and several western European nations to provide collective security against the erstwhile Soviet Union.

● Its purpose is to guarantee the freedom and security of its members through political and military means.

● It has two types of objectives to fulfil

NEXT

NEXT

NEXT

NEXT It is a single market, customs union and a supranational institution of 27 member countries.

NEXT It is a single market, customs union and a supranational institution of 27 member countries.

NEXT The United Kingdom, earlier part of the union, officially got out

NEXT The United Kingdom, earlier part of the union, officially got out

NEXT It has four types of freedom of movements: Goods, Services, People and Capital.

NEXT It has four types of freedom of movements: Goods, Services, People and Capital.

NEXT The Maastricht Treaty, signed in 1993, forms the constitutional basis of the EU.

NEXT The Maastricht Treaty, signed in 1993, forms the constitutional basis of the EU.

NEXT The Lisbon Treaty, which was signed in 2007, amended existing treaties such as

NEXT The Lisbon Treaty, which was signed in 2007, amended existing treaties such as

NEXT treaty.

NEXT treaty.

NEXT ○

NEXT ○ Article 50 of Lisbon Treaty introduced a procedure for a member state to withdraw

NEXT Article 50 of Lisbon Treaty introduced a procedure for a member state to withdraw

NEXT voluntarily from the EU.

NEXT voluntarily from the EU.

NEXT North Atlantic Treaty OrganisationNEXT North Atlantic Treaty OrganisationNEXT

● NEXT ● It is an intergovernmental military alliance established by the North Atlantic Treaty (alsoNEXT

It is an intergovernmental military alliance established by the North Atlantic Treaty (alsoNEXT the Washington Treaty) of 4NEXT the Washington Treaty) of 4NEXT

○NEXT ○ It was signed by the US, Canada and several western European nations to provide NEXT

It was signed by the US, Canada and several western European nations to provide NEXT collective security against the erstwhile Soviet Union.NEXT collective security against the erstwhile Soviet Union.NEXT

Its purpose is to guarantee the freedom and security of its members thNEXT

Its purpose is to guarantee the freedom and security of its members thNEXT

NEXT

NEXT

NEXT

NEXT

NEXT IASIASIAS

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○ Political Objective: It promotes democratic values and enables members to consult and cooperate on defence and security-related issues to solve problems, build trust and, in the long run, prevent conflict.

○ Military Objective: It is committed to the peaceful resolution of disputes. If diplomatic efforts fail, it has the military power to undertake crisis-management operations.

● A key provision of the treaty is Article 5, which states that if one member of the alliance is attacked in Europe or North America, it is to be considered an attack on all members.

○ This article effectively puts western Europe under the “nuclear umbrella” of the US.

● Headquarters: Brussels, Belgium.International Civil Aviation Organization

● It is a specialized agency of the United Nations.● It is funded and directed by 193 national governments (India is a member) to support their

diplomacy and cooperation in air transport as signatory states to the Convention on International Civil Aviation, 1944.

○ It is also known as the Chicago Convention and was drafted in 1944 by 54 nations.○ It established the core principles permitting international transport by air and led to the

creation of ICAO.● ICAO is not an international aviation regulator.

Biodiversity and Environment

Global Annual to Decadal Climate Update: WMOTags: GS 2, International Organisations & Groupings, United Nations, its Bodies & Agencies, Effect of Policies & Politics of Developed & Developing Countries on India’s Interests, Important International

Institutions, GS 3, Environmental Pollution & Degradation, Environmental Impact Assessment, Disaster ManagementIn News: Recently, the report ‘Global Annual to Decadal Climate Update’ has been produced by the World Meteorological Organisation (WMO), in collaboration with the United Kingdom’s Met Office.

About the Report● The annual update harnesses the expertise of internationally acclaimed climate scientists and the

best prediction systems from leading climate centres around the world to produce actionable information for decision-makers.

● It takes into account natural variations as well as human influences to provide the best possible forecasts for the coming five years.

○ The forecast models do not take into consideration changes in emissions of greenhouse gases (GHGs) and aerosols as a result of the Covid-19 lockdown.

● The development of prediction capability was driven by the WMO co-sponsored World Climate Research Programme.

● Climate prediction groups from all over the world contributed to predictions, enabling a higher quality product.

NEXT

NEXT

NEXT aviation regulator.

NEXT aviation regulator.

NEXT

NEXT Biodiversity and Environment

NEXT Biodiversity and Environment

Global Annual to Decadal Climate Update: WMO

NEXT Global Annual to Decadal Climate Update: WMO

GS 2, International Organisations & Groupings, United Nations, its Bodies & Agencies, Effect of

NEXT GS 2, International Organisations & Groupings, United Nations, its Bodies & Agencies, Effect of

Policies & Politics of Developed & Developing Countries o

NEXT Policies & Politics of Developed & Developing Countries oInstitutions, GS 3, Environmental Pollution & Degradation, Environmental Impact Assessment, Disaster

NEXT Institutions, GS 3, Environmental Pollution & Degradation, Environmental Impact Assessment, Disaster

Recently, the report

NEXT Recently, the report

NEXT ‘Global Annual to Decadal Climate Update’ has been produced by the

NEXT ‘Global Annual to Decadal Climate Update’ has been produced by the

Meteorological Organisation (WMO), in collaboration with the United Kingdom’s Met Office.

NEXT Meteorological Organisation (WMO), in collaboration with the United Kingdom’s Met Office.

About the Report

NEXT About the Report

●

NEXT ● The annual update harnesses the expertise of internationally acclaimed climate scientists and the

NEXT The annual update harnesses the expertise of internationally acclaimed climate scientists and the best prediction systems from leading climate NEXT best prediction systems from leading climate information for decisionNEXT information for decision

● NEXT ● It takes into account natural variations as well as human influences to provide the best possible NEXT

It takes into account natural variations as well as human influences to provide the best possible forecasts for the coming five years.NEXT forecasts for the coming five years.

○NEXT ○ The forecast models do not take into consNEXT

The forecast models do not take into cons

IASIASIASmanagement operations.

IASmanagement operations.

IASs that if one member of the alliance is

IASs that if one member of the alliance is

IASattacked in Europe or North America, it is to be considered an attack on all members.

IASattacked in Europe or North America, it is to be considered an attack on all members.

IASThis article effectively puts western Europe under the “nuclear umbrella” of the US.

IASThis article effectively puts western Europe under the “nuclear umbrella” of the US.

IASIASIASIASIt is funded and directed by 193 national governments (India is a member) to support their

IASIt is funded and directed by 193 national governments (India is a member) to support their

IASdiplomacy and cooperation in air transport as signatory states to the Convention on

IASdiplomacy and cooperation in air transport as signatory states to the Convention on International

IASInternational

IASIASIt is also known as the Chicago Convention and was drafted in 1944 by 54 nations.IASIt is also known as the Chicago Convention and was drafted in 1944 by 54 nations.IASIt established the core principles permitting international transport by air and led to the IASIt established the core principles permitting international transport by air and led to the IASIASIASIASIAS

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Major Findings for 2021-2025

● There is about a 40 per cent chance of the annual average global temperature temporarily reaching 1.5°C above the pre-industrial level in at least one of the next five years.

● There is a 90 per cent likelihood of at least one year becoming the warmest on record, which would dislodge 2016 from the top ranking.

● High-latitude regions are likely to be wetter and there is an increased chance of more tropical cyclones in the Atlantic compared to the recent past (defined as the 1981-2010 average).

● It confirms the trend highlighted in the State of the Global Climate 2020, released by the WMOearlier this year.

○ In the coming five years, the annual mean global temperature is likely to be at least 1°C warmer, within the range of 0.9°C to 1.8°C, than pre industrial levels.

○ The report highlighted the acceleration in climate change indicators like rising sea levels, melting sea ice, and extreme weather, as well as worsening impacts on socio-economic development.

● The chance of temporarily reaching 1.5°C has roughly doubled compared to last year’s predictions.

○ This is mainly due to using an improved temperature dataset to estimate the baseline rather than sudden changes in climate indicators.

● 2020 was one of the three warmest years on record and the six years since 2015 have been the warmest on record. 2011-2020 was the warmest decade on record.

NEXT The chance of temporarily reaching 1.5°C has roughly doubled compa

NEXT The chance of temporarily reaching 1.5°C has roughly doubled compa

NEXT This is mainly due to using an improved temperature dataset to estimate the baseline rather

NEXT This is mainly due to using an improved temperature dataset to estimate the baseline rather than sudden changes in climate indicators.

NEXT than sudden changes in climate indicators.

2020 was one of the three warmest years on record and the six years since 2015 have been

NEXT 2020 was one of the three warmest years on record and the six years since 2015 have been 2020 was the warmest decade on record.

NEXT 2020 was the warmest decade on record.

IASlatitude regions are likely to be wetter and there is an increased chance of more tropical

IASlatitude regions are likely to be wetter and there is an increased chance of more tropical

2010 average).

IAS2010 average).

State of the Global Climate 2020

IASState of the Global Climate 2020, released by the WMO

IAS, released by the WMO

IASIn the coming five years, the annual mean global temperature is likely to be at least 1°C

IASIn the coming five years, the annual mean global temperature is likely to be at least 1°C warmer, within the range of 0.9°C to 1.8°C, than pre industrial levels.

IASwarmer, within the range of 0.9°C to 1.8°C, than pre industrial levels.

climate change IASclimate change indicators like rising sea levels, IASindicators like rising sea levels, IASmelting sea ice, and extreme weather, as well as worsening impacts on socioIASmelting sea ice, and extreme weather, as well as worsening impacts on socio

The chance of temporarily reaching 1.5°C has roughly doubled compaIASThe chance of temporarily reaching 1.5°C has roughly doubled compared to last year’s predictions.IAS

red to last year’s predictions.IASThis is mainly due to using an improved temperature dataset to estimate the baseline rather IASThis is mainly due to using an improved temperature dataset to estimate the baseline rather

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India Specific Findings● Warming of the north Indian Ocean during the next five years, particularly the Arabian Sea, could

make India even more vulnerable to deadly cyclones.○ Maps on surface temperature anomalies compared to the 1981-2010 period show the

Arabian Sea could be 0.5°-1°C warmer than the 29-year period.● The long-term surface warming recorded in the western Indian Ocean region is in the range of 1.2°-

1.4°C. This has a huge impact on the monsoon and severe weather events.

NEXT India Specific FindingsNEXT India Specific Findings

● NEXT ● Warming of the north Indian Ocean during the next five years, particularly the Arabian Sea, could NEXT

Warming of the north Indian Ocean during the next five years, particularly the Arabian Sea, could make India even more vulnerable to deadly cyclones.NEXT

make India even more vulnerable to deadly cyclones.NEXT

NEXT IASIASIAS

8

● India’s average temperature has risen by around 0.7°C during 1901-2018 but Sea Surface Temperature (SST) of the tropical Indian Ocean has risen by 1°C on average during 1951–2015.

○ It is markedly higher than the global average SST warming of 0.7°C, over the same period.

● India has taken various steps to fight the problem of climate change on the national level.

○ These include the eight missions under the National Action Plan on Climate Change (NAPCC) and other government schemes like UJALA scheme, BS-VI emission norms, National Clean Air Programme, efforts towards renewable energy, etc.

Significance

● The report underlines the need for climate adaptation.

● It shows that the world is getting measurably closer to the lower target of the Paris Agreement on Climate Change.

● It works as a wakeup call that the world needs to fast-track commitments to slash GHG emissions and achieve carbon neutrality.

● The year 2021 and climate change negotiations, COP26 (to be held in November 2021) have been widely described as a “make-or-break” chance to prevent climate change.

● Tackling climate change is high on the agenda of the G-7 Leaders Summit, which will be hosted by the UK in June 2021.

Concerns

● Increasing temperatures mean more melting ice, higher sea levels, more heatwaves and other extreme weather.

● These changes will lead to greater impacts on food security, health, the environment and sustainable development.

● Only half of 193 WMO Members have state of the art Early Warning Services (EWS).

● Also, there are severe gaps in weather observations especially in Africa and island states, having a major negative impact on the accuracy of warnings.

● In 2017, the Intergovernmental Panel on Climate Change (IPCC) warned that a breach of the threshold set by the Paris Agreement will mark a menacing milestone in the planet’s warming.

Suggestions

● Countries should continue to develop the services that will be needed to support adaptation in climate-sensitive sectors such as health, water, agriculture and renewable energy.

● They should develop and promote EWS so that the adverse impacts of extreme events can bereduced.

● Technological advances now make it possible to track GHG emissions back to their sources which should be used as a means of precisely targeting reduction efforts.NEXT break” chance to prevent climate change.

NEXT break” chance to prevent climate change.

e is high on the agenda of the G

NEXT e is high on the agenda of the G

Increasing temperatures mean more melting ice, higher sea levels, more heatwaves and other

NEXT Increasing temperatures mean more melting ice, higher sea levels, more heatwaves and other

These changes will lead to greater impacts

NEXT These changes will lead to greater impacts on food security, health, the environment and sustainable

NEXT on food security, health, the environment and sustainable

Only half of 193 WMO Members have state of the art Early Warning Services (EWS).

NEXT Only half of 193 WMO Members have state of the art Early Warning Services (EWS).

Also, there are severe gaps in weather observations especially in Africa and island states, having a

NEXT Also, there are severe gaps in weather observations especially in Africa and island states, having a

or negative impact on the accuracy of warnings.

NEXT or negative impact on the accuracy of warnings.

NEXT In 2017, the Intergovernmental Panel on Climate Change (IPCC) warned that a breach of the

NEXT In 2017, the Intergovernmental Panel on Climate Change (IPCC) warned that a breach of the threshold set by the Paris Agreement will mark a menacing milestone in the planet’s warming.

NEXT threshold set by the Paris Agreement will mark a menacing milestone in the planet’s warming.

Suggestions

NEXT Suggestions

● NEXT ● Countries NEXT

Countries should continue to develop the services that will be needed to support adaptation in NEXT should continue to develop the services that will be needed to support adaptation in

climateNEXT climate-NEXT

-sensitive sectors such as health, water, agriculture and renewable energy.NEXT sensitive sectors such as health, water, agriculture and renewable energy.

● NEXT ● They should develop and promote EWS so that the adverse impacts of extreme events can beNEXT

They should develop and promote EWS so that the adverse impacts of extreme events can bereduced.NEXT reduced.

Technological advances now make it possible to track GHG emissions back to their sources which NEXT

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IASThese include the eight missions under the National Action Plan on Climate Change

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9

World Meteorological Organisation● It is an intergovernmental organization with a membership of 193 Member States and Territories. ● It was established by the ratification of the WMO Convention on 23 March 1950

○ It originated from the International Meteorological Organization (IMO), the roots of which were planted at the 1873 Vienna International Meteorological Congress.

● It is the specialised agency of the United Nations for meteorology (weather and climate), operational hydrology and related geophysical sciences a year later.

● The Secretariat, headquartered in Geneva, is headed by the Secretary-General. Its supreme body is the World Meteorological Congress.

● The State of the Global Climate-World Meteorological Organization issued the first state of the climate report in 1993.

○ The report was initiated due to the concerns raised at that time about projected climate change.

Paris Agreement● It is a landmark agreement as it brings all nations into a common cause to undertake ambitious

efforts to combat climate change and adapt to its effects, for the first time.● It is a legally binding international treaty on climate change which replaced the Kyoto Protocol,

an earlier related agreement.● It was adopted by 196 parties at COP 21 in Paris, in December 2015 and entered into force in

November 2016.● Conference of Parties (COP) is the supreme decision-making body of the United Nations

Framework Convention on Climate Change (UNFCCC).● Aims: To limit global warming to well below 2, preferably to 1.5 degrees Celsius as compared

to pre-industrial levels.● Frameworks

○ Technology Framework.○ Capacity Building Framework.○ Transparency Framework.

● Implementation○ It requires economic and social transformation, based on the best available science.○ It works on a 5-year cycle of increasingly ambitious climate action carried out by

countries.○ Countries have submitted their plans for climate action known as the Nationally

Determined Contributions (NDCs).○ To better frame the efforts towards the long-term goal, it invited countries to formulate

and submit by 2020 long-term low greenhouse gas emission development strategies (LT-LEDS).

■ LT-LEDS provide the long-term horizon to the NDCs and are not mandatory.■ Nevertheless, they place the NDCs into the context of countries’ long-term

planning and development priorities, providing a vision and direction for future development.NEXT

NEXT

NEXT It was adopted by 196 parties at COP 21 in Paris, in December 2015 and entered into force in

NEXT It was adopted by 196 parties at COP 21 in Paris, in December 2015 and entered into force in

NEXT

NEXT erence of Parties (COP) is the supreme decision

NEXT erence of Parties (COP) is the supreme decision

NEXT Framework Convention on Climate Change (UNFCCC).

NEXT Framework Convention on Climate Change (UNFCCC).

NEXT Aims: To limit global warming to well below 2, preferably to 1.5 degrees Celsius as compared

NEXT Aims: To limit global warming to well below 2, preferably to 1.5 degrees Celsius as compared

NEXT

NEXT

NEXT Technology Framework.

NEXT Technology Framework.

NEXT Capacity Building Framework.

NEXT Capacity Building Framework.

NEXT Transparency Framework.

NEXT Transparency Framework.

NEXT Implementation

NEXT Implementation

NEXT ○

NEXT ○ It requires economic and social transformation, based on the best available science.

NEXT It requires economic and social transformation, based on the best available science.

NEXT ○

NEXT ○ It works on a 5

NEXT It works on a 5-

NEXT -year cycle of increasingly ambitious climate action carried

NEXT year cycle of increasingly ambitious climate action carried

NEXT countries.

NEXT countries.

NEXT ○

NEXT ○ Countries have submitted their plans for climate action known as the

NEXT Countries have submitted their plans for climate action known as the

NEXT Determined Contributions

NEXT Determined Contributions

NEXT

NEXT ○NEXT ○ To better frame the efforts towards the longNEXT

To better frame the efforts towards the longNEXT and submit by 2020 longNEXT and submit by 2020 longNEXT LEDS).NEXT LEDS).NEXT

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It is the specialised agency of the United Nations for meteorology (weather and climate),

IASIt is the specialised agency of the United Nations for meteorology (weather and climate),

IASIASGeneral. Its supreme body

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IASIASinitiated due to the concerns raised at that time about projected climate

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making body of the United Nations IASmaking body of the United Nations IASIAS

10

Internal Security

Integrated Law Enforcement Centres (ILECs)Tags: GS3/ Security Challenges and their Management in Border Areas - Linkages of Organized Crime with Terrorism.In NewsThe Bureau of Police Research and Development (BPRD) has recommended a unified agency, i.e., Integrated Law Enforcement Centres (ILECs) for cross-border crimes.

NEXT

NEXT

NEXT

NEXT Integrated Law Enforcement Centres (ILECs)NEXT Integrated Law Enforcement Centres (ILECs)

GS3/ Security Challenges and their Management in Border Areas NEXT

GS3/ Security Challenges and their Management in Border Areas NEXT

NEXT IASIASIASIASIASIAS

11

Integrated Law Enforcement Centres (ILECs)

● Integrated Law Enforcement Centres will be stationed at existing and proposed Integrated Check Posts (ICPs) established by the Land Port Authorities of India, Ministry of Home Affairs.

● These centres will be on the lines of police stations and will help different stakeholder government agencies on the border to work together.

● These centres will undertake the protection role of premises of ICPs, collaboratively detect, register and investigate the cases related to different types of border crimes, and finally dispose of such cases.

● Besides personnel from border guarding forces of the area, there will be officials from different stakeholder agencies, such as Customs, Narcotics Control Bureau, National Investigation Agency, Directorate of Revenue Intelligence, Enforcement Directorate, Local Police, Anti-Trafficking (Human) Cells, Intelligence

Features of ILECs

● Similar to International agencies: The ILECs on all its borders on the lines of the United States’

Department of Homeland Security (DHS), the UK’s Border Agency and the European Union’s

Frontex to deal with cross-border crimes including infiltration, terrorism, smuggling of drugs, cattle, fake currency, arms, etc.

● To deal with cross-border crimes: The ILECs, working inside the existing Integrated Check Posts (ICPs), will have the mandate to register, investigate and dispose of all types of cross-border crimes with jurisdiction clearly defined and coinciding with government regulations with respect to border guarding forces.

● Collated Data: They will maintain a wealth of cross-border crime data and process it for short-,medium- and long-term trends. The data will be collated from different stakeholder agencies, mass-and-social-media, as well as cross-border sources. Various factors affecting border security, such as political, economic, social, technological and legal environments etc. will be monitored.

● Real-Time operations: The ILECs will establish a situation room, where on the basis of collected, collated and analysed information from various sources, near real-time situations of the borders will be built up; and on the basis of time-series data, the trends of border-crimes in a particular sector of border will be analyzed and utilized for planning routine operations by border guarding forces.

● Multi-Stakeholders: It has been recommended that each ILEC can have small self-sustaining investigative units of Customs, Narcotics Control Bureau (NCB), National Investigation Agency (NIA), Directorate of Revenue Intelligence (DRI), Enforcement Directorate (ED), local police, Anti-Trafficking (Human) Cells, Intelligence Bureau (IB), Special Bureau of Research and Analysis Wing (RAW) and wildlife wing of ministry of environment, apart from officials from border guarding forces.

Issues with the Present Border Security Mechanism

● Multiple Agencies: There are different agencies active on India’s land borders operating within

the silos of their specific mandate striving for agency-specific micro-level optimization with a lesser degree of inter-agencies cooperation, coordination and complementarity.

NEXT

NEXT The ILECs, working inside the existing Integrated Check Posts

NEXT The ILECs, working inside the existing Integrated Check Posts

NEXT (ICPs), will have the mandate to register, investigate and dispose of all types of cross

NEXT (ICPs), will have the mandate to register, investigate and dispose of all types of cross

NEXT with jurisdiction clearly defined and coinciding with government regulatio

NEXT with jurisdiction clearly defined and coinciding with government regulatio

NEXT

NEXT They will maintain a wealth of cross

NEXT They will maintain a wealth of cross-

NEXT -border crime data and process it for short

NEXT border crime data and process it for short

NEXT term trends. The data will be collated from different stakeholder agencies, mass

NEXT term trends. The data will be collated from different stakeholder agencies, mass

NEXT as well as cross

NEXT as well as cross

NEXT -

NEXT -border sources. Various factors affecting border security, such

NEXT border sources. Various factors affecting border security, such

NEXT as political, economic, social, technological and legal environments etc. will be monitored.

NEXT as political, economic, social, technological and legal environments etc. will be monitored.

NEXT Time operations:

NEXT Time operations: The ILECs will establish a situation room, where on the bas

NEXT The ILECs will establish a situation room, where on the bas

NEXT collated and analysed information from various sources, near real

NEXT collated and analysed information from various sources, near real

NEXT will be built up; and on the basis of time

NEXT will be built up; and on the basis of time

NEXT sector of border will be analyzed and util

NEXT sector of border will be analyzed and util

NEXT forces.

NEXT forces.

NEXT ●

NEXT ● Multi

NEXT Multi-

NEXT -Stakeholders:

NEXT Stakeholders: It has been recommended that each ILEC can have small self

NEXT It has been recommended that each ILEC can have small self

NEXT investigative units of Customs, Narcotics Control Bureau (NCB), National Investigation Agency

NEXT investigative units of Customs, Narcotics Control Bureau (NCB), National Investigation Agency

NEXT (NIA), DNEXT (NIA), Directorate of Revenue Intelligence (DRI), Enforcement Directorate (ED), local police, NEXT

irectorate of Revenue Intelligence (DRI), Enforcement Directorate (ED), local police, NEXT AntiNEXT AntiNEXT

-NEXT -Trafficking (Human) Cells, Intelligence Bureau (IB), Special Bureau of Research and NEXT Trafficking (Human) Cells, Intelligence Bureau (IB), Special Bureau of Research and NEXT

Analysis Wing (RAW) and wildlife wing of ministry of environment, apart from offiNEXT Analysis Wing (RAW) and wildlife wing of ministry of environment, apart from offiNEXT border guarding forces.NEXT border guarding forces.NEXT

NEXT

Issues with the Present Border Security MechanismNEXT

Issues with the Present Border Security MechanismNEXT IASIASIAS

These centres will undertake the protection role of premises of ICPs, collaboratively detect, register

IASThese centres will undertake the protection role of premises of ICPs, collaboratively detect, register

IASnvestigate the cases related to different types of border crimes, and finally dispose of such

IASnvestigate the cases related to different types of border crimes, and finally dispose of such

IASIASBesides personnel from border guarding forces of the area, there will be officials from different

IASBesides personnel from border guarding forces of the area, there will be officials from different

IASBureau, National Investigation Agency,

IASBureau, National Investigation Agency,

IASDirectorate of Revenue Intelligence, Enforcement Directorate, Local Police, Anti

IASDirectorate of Revenue Intelligence, Enforcement Directorate, Local Police, Anti-

IAS-Trafficking

IASTrafficking

IASIASThe ILECs on all its borders on the lines IASThe ILECs on all its borders on the lines of the IAS

of the United States’ IASUnited States’ IAS

Department of Homeland Security (DHS), the UK’s Border Agency and the European Union’s IASDepartment of Homeland Security (DHS), the UK’s Border Agency and the European Union’s IAS

border crimes including infiltration, terrorism, smuggling of drugs, IASborder crimes including infiltration, terrorism, smuggling of drugs, IASIAS

The ILECs, working inside the existing Integrated Check Posts IASThe ILECs, working inside the existing Integrated Check Posts IAS

(ICPs), will have the mandate to register, investigate and dispose of all types of crossIAS(ICPs), will have the mandate to register, investigate and dispose of all types of cross

12

● Diverse Security Threats: The security threats on the borders of India consist of- illegal infiltration/immigration and human trafficking, rampant smuggling in cattle, FICN and Phensydel, assault on BSF troops by smugglers and presence of insurgents / militants.

● Lack of strategic thinking: Absence of policy to check infiltration / illegal migration from eastern borders; inability to stop or contain cross-border terrorism; absence of an integrated approach to tackle, trafficking / smuggling in drugs, FICN, cattle, humans and other contrabands across international boundary.

● Lack of coordination: India has been lacking synergy when it comes to border security management. This gives rise to cases of cattle smuggling, smuggling of Fake Indian Currency Notes (FICN) and illegal infiltration, drug trafficking, sniper attacks, infiltration by terrorists etc.

● Overlapping: Many a time, inter agencies competition leads to suboptimal outcomes at national level. There are instances of both gaps as well as overlapping in the role, jurisdiction and working of the agencies.

● Different Challenges: The geomorphology of the border region, historical evolution of borders, the legal status of boundaries, the cross border socio-economic-ethnic transactions, and the nature of border control and enforcement are different along different sectors of borders.

India & Its borders with Neighbourhood

Advantages of ILECs

● Bringing Synergy: The ILECs will lead to synergy in the efforts of different agencies. The overall effectiveness of agencies while working in unison is likely to scale up in comparison to the existing situation, where they are working in their respective silos. For example, the powers of interception and electronic surveillance available with IB/RAW etc. can be complemented with the expertise available with NCB, the reach and manpower availability of BSF, the investigative skills and experience of the local police to detect and destroy modules focused on narco-terrorism.

● Financial Benefits: Effective enforcement of border management not only prevents / minimizes trans-border criminal activity including smuggling, human trafficking, induction of Fake Indian Currency Notes (FICN) in the country, etc. but also promotes trans-border trade and economic activity, thereby giving tremendous financial benefits to the nation.

● Optimum utilization of resources: Integrated Law Enforcement Centers envisage pooling of resources of different agencies and mutual sharing by them. This ensures optimal utilization of

NEXT

NEXT control and enforcement are different along different sectors of borders.

NEXT control and enforcement are different along different sectors of borders.

NEXT

NEXT Advantages of ILECs

NEXT Advantages of ILECs

NEXT Bringing Synergy:

NEXT Bringing Synergy:

NEXT The ILECs will lead to synergy in the efforts of different agencies. The overall

NEXT The ILECs will lead to synergy in the efforts of different agencies. The overall

NEXT effectiveness of

NEXT effectiveness of agencies while working in unison is likely to scale up in comparison to the existing

NEXT agencies while working in unison is likely to scale up in comparison to the existing

NEXT situation, where they are working in their respective silos. For example, the powers of interception

NEXT situation, where they are working in their respective silos. For example, the powers of interception

NEXT and electronic surveillance available with IB/RAW etc. can be complemeNEXT and electronic surveillance available with IB/RAW etc. can be complemeNEXT available with NCB, the reach and manpower availability of BSF, the investigative skills and NEXT available with NCB, the reach and manpower availability of BSF, the investigative skills and NEXT experience of the local police to detect and destroy modules focused on narcoNEXT experience of the local police to detect and destroy modules focused on narcoNEXT

● NEXT ● Financial Benefits:NEXT

Financial Benefits:NEXT

transNEXT

trans-NEXT

-border criminal activity including smuggling, human trafficking, induction of Fake Indian NEXT

border criminal activity including smuggling, human trafficking, induction of Fake Indian NEXT

Currency Notes (FICN) in the country, etc. but also promotes transNEXT

Currency Notes (FICN) in the country, etc. but also promotes transNEXT IASIAS

border terrorism; absence of an integrated approach to

IASborder terrorism; absence of an integrated approach to

IASttle, humans and other contrabands across

IASttle, humans and other contrabands across

IASIASIndia has been lacking synergy when it comes to border security

IASIndia has been lacking synergy when it comes to border security

IASmanagement. This gives rise to cases of cattle smuggling, smuggling of Fake Indian Currency

IASmanagement. This gives rise to cases of cattle smuggling, smuggling of Fake Indian Currency

IASN) and illegal infiltration, drug trafficking, sniper attacks, infiltration by terrorists etc.

IASN) and illegal infiltration, drug trafficking, sniper attacks, infiltration by terrorists etc.

IASMany a time, inter agencies competition leads to suboptimal outcomes at national

IASMany a time, inter agencies competition leads to suboptimal outcomes at national

IASlevel. There are instances of both gaps as well as overlapping in t

IASlevel. There are instances of both gaps as well as overlapping in the role, jurisdiction and working

IAShe role, jurisdiction and working

IASIASThe geomorphology of the border region, historical evolution of borders, IASThe geomorphology of the border region, historical evolution of borders, IAS

economic IASeconomic- IAS

-ethnic transactions, and the nature IASethnic transactions, and the nature IAS

control and enforcement are different along different sectors of borders. IAScontrol and enforcement are different along different sectors of borders. IAS

13

resources and overall cost cutting and increased efficiency in governance with regards to law enforcement on borders.

● Enhanced efficiency and desirable outcome: The proposed arrangement is likely to significantly enhance the effectiveness and efficiency of the overall law enforcement on the border and ensure strong deterrence against the criminals and greater compliance with law.

● Utilisation of existing set-up: The proposed arrangement does not require a separate arrangement to operate. In fact, it seeks the process of re-engineering of the existing set up, without / with minimum requirement of additional resources in terms of manpower and infrastructure and resulting in more desirable outcomes.

● Minimum Augmentation of Infrastructure: All the wasteful expenditure gets avoided in Integrated Law Enforcement Centres which function on the dictum of pooling of resources, including infrastructure and would operate from within the premises of already sanctioned ICPs.

Way Forward● Law and Order is a ‘State subject’. Given the delicate balance of power between the Centre and

States in India, which is ‘Federal in nature but unitary in spirit’, an overarching institutional

arrangement would require strong political will at the Central level as well as accommodation by the states.

● A workable and politically feasible solution has to be necessarily found in the interest of national security, through collaboration of all bordering states with the Union of India within the existing institutional arrangements

● A Committee on Combating Trans-Border Crimes can be composed of senior representatives of IB, NIA, CBI, NCB, members of the Police of bordering states and of Border Guarding Forces. This Committee can meet each month to review and monitor the entire gamut of issues pertaining to trans-border crimes.

● The ILECs will promote Integrated Border Management in a holistic and comprehensive manner. It will ensure a proper blend of national security and economic development.

Department of Homeland Security (DHS)● Following the 9/11 attacks, the US underwent the biggest government reorganisation by merging

22 agencies from different departments (equivalent to ministries in India) into the Department of Homeland Security (DHS).

Frontex ● Frontex is the main institutional arrangement for the external border management of the

European Union;● It covers all border-related threats of the EU.

UK Border Agency● The UK Border Agency was formed in 2008 by the merger of the Border and Immigration

Agency, UK Visas and Port of entry functions of HM Revenue and Customs.● Its aim is to look after all border crimes.

Land Ports Authority of India (LPAI)● It has been envisaged as a statutory body which will function as a body corporate, under the

administrative control of the Department of Border Management, Ministry of Home Affairs. ● The LPAI is expected to provide better administration and cohesive management of entry

points/land ports on the land borders and would be vested with the powers on the lines of similar bodies like Airports Authority of India.

Integrated Check Post (ICP)

NEXT

NEXT Border Crimes can be composed of senior representatives of

NEXT Border Crimes can be composed of senior representatives of IB, NIA, CBI, NCB, members of the Police of bordering states and of Border Guarding Forces.

NEXT IB, NIA, CBI, NCB, members of the Police of bordering states and of Border Guarding Forces. This Committee can meet each month to review and monitor the entire gamut of issues pertai

NEXT This Committee can meet each month to review and monitor the entire gamut of issues pertai

NEXT The ILECs will promote Integrated Border Management in a holistic and comprehensive manner.

NEXT The ILECs will promote Integrated Border Management in a holistic and comprehensive manner.

NEXT It will ensure a proper blend of national security and economic development.

NEXT It will ensure a proper blend of national security and economic development.

NEXT Department of Homeland Security (DHS)

NEXT Department of Homeland Security (DHS)

NEXT Following the 9/11 attacks, the US underwent the biggest government reorganisation by merging

NEXT Following the 9/11 attacks, the US underwent the biggest government reorganisation by merging

NEXT 22 agencies from different departments (equivalent to ministries in India) into the Department of

NEXT 22 agencies from different departments (equivalent to ministries in India) into the Department of

NEXT Homeland Security (DHS).

NEXT Homeland Security (DHS).

NEXT

NEXT

NEXT Frontex is the main instituti

NEXT Frontex is the main institutional arrangement for the external border management of the

NEXT onal arrangement for the external border management of the

NEXT European Union;

NEXT European Union;

NEXT ●

NEXT ● It covers all border

NEXT It covers all border-

NEXT -related threats of the EU.

NEXT related threats of the EU.

NEXT UK Border AgencyNEXT UK Border AgencyNEXT

● NEXT ● The UK Border Agency was formed in 2008 by the merger of the Border and Immigration NEXT

The UK Border Agency was formed in 2008 by the merger of the Border and Immigration NEXT Agency, UK Visas and Port of enNEXT Agency, UK Visas and Port of enNEXT

● NEXT ● Its aim is to look after all border crimes.NEXT

Its aim is to look after all border crimes.NEXT Land Ports Authority of India (LPAI)NEXT Land Ports Authority of India (LPAI)NEXT

It has been envisaged as a NEXT

It has been envisaged as a NEXT

administrative control of the DepartmentNEXT

administrative control of the DepartmentNEXT

NEXT

NEXT

NEXT IASIAS

: The proposed arrangement does not require a separate arrangement

IAS: The proposed arrangement does not require a separate arrangement

IASengineering of the existing set up, without / with

IASengineering of the existing set up, without / with

IASminimum requirement of additional resources in terms of manpower and infrastructure and

IASminimum requirement of additional resources in terms of manpower and infrastructure and

IASIASnditure gets avoided in

IASnditure gets avoided in

IASIntegrated Law Enforcement Centres which function on the dictum of pooling of resources,

IASIntegrated Law Enforcement Centres which function on the dictum of pooling of resources,

IASincluding infrastructure and would operate from within the premises of already sanctioned ICPs.

IASincluding infrastructure and would operate from within the premises of already sanctioned ICPs.

IASIAS. Given the delicate balance of power between the Centre and

IAS. Given the delicate balance of power between the Centre and

IASStates in India, which is ‘Federal in nature but unitary in spirit’, an overarching institutional

IASStates in India, which is ‘Federal in nature but unitary in spirit’, an overarching institutional

IASat the Central level as well as accommodation by IASat the Central level as well as accommodation by IASIASA workable and politically feasible solution has to be necessarily found in the interest of national IASA workable and politically feasible solution has to be necessarily found in the interest of national IASsecurity, through collaboration of all bordering states with the Union of India within the existing IASsecurity, through collaboration of all bordering states with the Union of India within the existing IAS

Border Crimes can be composed of senior representatives of IASBorder Crimes can be composed of senior representatives of

IB, NIA, CBI, NCB, members of the Police of bordering states and of Border Guarding Forces. IASIB, NIA, CBI, NCB, members of the Police of bordering states and of Border Guarding Forces.

14

● Integrated Check Posts are being set-up at major entry points on India’s land borders under the

aegis of LPAI. ● These Integrated Check Posts house all regulatory agencies like Immigration, Customs, border

security, etc. together with support facilities like parking, warehousing, banking, hotels etc. in a single complex equipped with all modern facilities.

India & Foreign RelationsUAE’s Golden Visa

GS2/Effect of Policies & Politics of Developed & Developing Countries on India’s Interests

In News: Recently, a Bollywood actor received a golden visa from the United Arab Emirates (UAE) government.

Golden Visa

● It is a long-term residency programme that was announced in May 2019.

○ In 2019, the United Arab Emirates (UAE) implemented a new system for long-term residence visas, thereby enabling foreigners to live, work and study in the UAE without the need of a national sponsor and with 100 per cent ownership of their business.

● It provides a rainbow of benefits to cardholders and their families and creates an attractive environment for business and growth.

● The Golden Visa system essentially offers long-term residency (5 and 10 years) to people belonging to the following groups like investors, entrepreneurs, individuals with outstanding talents the likes of researchers, medical professionals and those within the scientific and knowledge fields, and remarkable students.

● The main benefit of the visa will be security as through the issuance of the Golden Visa, the UAE government has made it clear that they are committed to providing expatriates, investors and essentially everyone looking to make the UAE their home an extra reason to feel secure about their future.

Eligibility

● 10-year visa eligibility requirements for investors

○ A deposit of at least AED (United Arab Emirates Dirham) 10 million worth of public investment, either in the form of an investment fund or a company.

○ 60% of the total investment must not be in the form of real estate.

○ The invested amount must not be loaned, or in the case of assets, investors must assume full ownership.

○ The investor must be able to retain the investment for a minimum of three years.

○ This 10-year long visa may be extended to include business partners, providing that each partner contributes AED 10 million.

■ The long-term visa can also include the holder’s spouse and children, as well as

one executive director and one advisor. This visa may also be renewed.

NEXT residence visas, thereby enabling foreigners to live, work and study in the UAE without

NEXT residence visas, thereby enabling foreigners to live, work and study in the UAE without the need of a national sponsor and with 100 per cent ownership of their business.

NEXT the need of a national sponsor and with 100 per cent ownership of their business.

It provides a rainbow of benefits to ca

NEXT It provides a rainbow of benefits to cardholders and their families and creates an attractive

NEXT rdholders and their families and creates an attractive environment for business and growth.

NEXT environment for business and growth.

The Golden Visa system essentially offers long

NEXT The Golden Visa system essentially offers long-

NEXT -term residency (5 and 10 years) to people belonging

NEXT term residency (5 and 10 years) to people belonging to the following groups like investors, entrepreneurs, individual

NEXT to the following groups like investors, entrepreneurs, individualof researchers, medical professionals and those within the scientific and knowledge fields, and

NEXT of researchers, medical professionals and those within the scientific and knowledge fields, and

The main benefit of the visa will be security as through the issuance of the Golden Visa, the UAE

NEXT The main benefit of the visa will be security as through the issuance of the Golden Visa, the UAE government has made it clear that they are committed to providing expatriates, investors and

NEXT government has made it clear that they are committed to providing expatriates, investors and essentially everyone looking to make the UAE their home an extra reason to feel secure about their

NEXT essentially everyone looking to make the UAE their home an extra reason to feel secure about their

10

NEXT 10-

NEXT -year visa eligibility requirements for in

NEXT year visa eligibility requirements for in

○

NEXT ○ A deposit of at least AED (United Arab Emirates Dirham) 10 million worth of public

NEXT A deposit of at least AED (United Arab Emirates Dirham) 10 million worth of public investment, either in the form of an investment fund or a company.

NEXT investment, either in the form of an investment fund or a company.

○NEXT ○ 60% of the total investment must not be in the form of real estate.NEXT

60% of the total investment must not be in the form of real estate.

○NEXT ○ The invested amount must not bNEXT

The invested amount must not bfull ownership.NEXT full ownership.

○NEXT ○ The investor must be able to retain the investment for a minimum of three years.NEXT

The investor must be able to retain the investment for a minimum of three years.

○NEXT

○

IASIASCountries on India’s Interests

IASCountries on India’s Interests

Recently, a Bollywood actor received a golden visa from the United Arab Emirates (UAE)

IASRecently, a Bollywood actor received a golden visa from the United Arab Emirates (UAE)

term residency programme that was announced in May 2019.IASterm residency programme that was announced in May 2019.

s (UAE) implemented a new system for longIASs (UAE) implemented a new system for long

residence visas, thereby enabling foreigners to live, work and study in the UAE without IASresidence visas, thereby enabling foreigners to live, work and study in the UAE without the need of a national sponsor and with 100 per cent ownership of their business.IASthe need of a national sponsor and with 100 per cent ownership of their business.

rdholders and their families and creates an attractive IASrdholders and their families and creates an attractive

15

● Eligibility for a 5-year visa

○ The investor must invest in a property of a gross value of not less than AED 5 million.

○ The amount invested in real estate must not be on a loan basis.

○ The property must be retained for at least three years.

● For individuals with specialized talents

○ The category includes doctors, researchers, scientists, investors and artists.

○ These individuals may be granted a 10-year visa following accreditations granted by their respective departments and fields. The visa also extends to their spouses and children.

● People in the aforementioned specialised talent group must fulfil certain criteria to be eligible to apply for residency.

● While scientists must be accredited by the Emirates Scientists Council or holders of the Mohammed Bin Rashid Medal for Scientific Excellence, creative individuals in culture and art must be accredited by the Ministry of Culture and Knowledge Development

● Besides these, exceptional talents must be documented by patents or scientific research published in a world-class journal.

● Doctors and specialists must meet at least two of the following conditions: a PhD degree from one of the top 500 universities in the world, an award or certificates of appreciation in the field of the applicant’s work etc.

● Entrepreneurs

○ This category includes those having an existing project with a minimum capital of AED500,000, or those who have the approval of an accredited business incubator in the country.

● Outstanding students

○ Outstanding students with a minimum grade of 95% in public and private secondary schools.

○ University students within and outside the country having a distinction GPA of at least 3.75 upon graduation.

Reasons Behind the Move

● The economy of the UAE has been affected by the COVID-19 pandemic and low oil prices have prompted many expatriates to leave.

● The decision intends to bring them back now and keep the “talented people and great minds” in the

Gulf country and help in nation-building.

● It will also increase the UAE’s competitiveness and reaffirms the country’s position as a global

incubator.

● It will attract talented professionals from various domains and further encourage innovation, creativity and applied research which will help the nation in its recovery of crawling industries and economy.

NEXT Besides these, exceptional talents must be documented by patents or scientific

NEXT Besides these, exceptional talents must be documented by patents or scientific research published in a world

NEXT research published in a world-

NEXT -class journal.

NEXT class journal.

Doctors and specialists must meet at least two of the following co

NEXT Doctors and specialists must meet at least two of the following codegree from one of the top 500 universities in the world, an award or certificates

NEXT degree from one of the top 500 universities in the world, an award or certificates of appreciation in the field of the applicant’s work etc.

NEXT of appreciation in the field of the applicant’s work etc.

This category includes those having an existing project with a minimum capital of AED

NEXT This category includes those having an existing project with a minimum capital of AED500,000, or those who have the approval of an accredited business incubator in the country.

NEXT 500,000, or those who have the approval of an accredited business incubator in the country.

Outstanding students

NEXT Outstanding students

Outstanding students with a minimum grade of 95% in public and private secondary

NEXT Outstanding students with a minimum grade of 95% in public and private secondary schools.

NEXT schools.

○

NEXT ○ University students within and outside the country having a distinction GPA of at least

NEXT University students within and outside the country having a distinction GPA of at least 3.75 upon graduation.

NEXT 3.75 upon graduation.

Reasons Behind the Move

NEXT Reasons Behind the Move

● NEXT ● The economy of the UAE has been affected by the COVIDNEXT

The economy of the UAE has been affected by the COVIDprompted many expatriates to leave. NEXT prompted many expatriates to leave.

● NEXT ● The decision intends to bring them back now and keep the “talented people and great minds” in the NEXT

The decision intends to bring them back now and keep the “talented people and great minds” in the

Gulf country and help in nationNEXT Gulf country and help in nation

It will also increase the UAE’s competitiveness and reaffirms the country’s position as a global NEXT

It will also increase the UAE’s competitiveness and reaffirms the country’s position as a global

IASinvestors and artists.

IASinvestors and artists.

year visa following accreditations granted by their

IASyear visa following accreditations granted by their respective departments and fields. The visa also extends to their spouses and children.

IASrespective departments and fields. The visa also extends to their spouses and children.

must fulfil certain criteria to be

IASmust fulfil certain criteria to be

While scientists must be accredited by the Emirates Scientists Council or holders

IASWhile scientists must be accredited by the Emirates Scientists Council or holders of the Mohammed Bin Rashid Medal for Scientific Excellence, creative IASof the Mohammed Bin Rashid Medal for Scientific Excellence, creative individuals in culture and art must b IASindividuals in culture and art must be accredited by the Ministry of Culture and IAS

e accredited by the Ministry of Culture and

Besides these, exceptional talents must be documented by patents or scientific IASBesides these, exceptional talents must be documented by patents or scientific

Doctors and specialists must meet at least two of the following coIASDoctors and specialists must meet at least two of the following co

16

Benefits for India

● It would attract more Indian professionals and businessmen to the Gulf nation and strengthen the India-UAE Relations.

● It will also facilitate the return of Indians who want to resume work after the relaxation of Covid-19-related restrictions, for which India had requested the members of the Gulf Cooperation Council (GCC) in early November 2020.

Other programmes that have been introduced by UAE to bring in foreign residents

● The UAE has also approved an amendment to its residency laws allowing foreign university students to bring their families with them to the UAE, as long as they can afford suitable accommodation and have the financial means to support them.

● In October 2020, Dubai also launched a unique residency programme that permitted overseas working professionals, who were working from home, to live in the UAE while continuing to serve their employers in their home country.

● In September that year, the Dubai government also launched a five-year renewable Retirement Visa for foreigners aged 55 and over to live in the emirate.

○ The programme, called Retire in Dubai, is open to all retirees as long as they earn a monthly income of at least $5,500, have savings of $275,000, or own a property in Dubai worth $550,000

NEXT In September that year, the Dubai government

NEXT In September that year, the Dubai government

NEXT Visa for foreigners aged 55 and over to live in the emirate.

NEXT Visa for foreigners aged 55 and over to live in the emirate.

NEXT The programme, called Retire in Dubai, is open to all retirees as long as they earn a

NEXT The programme, called Retire in Dubai, is open to all retirees as long as they earn a

NEXT monthly income of at least $5,500, have savings of $275,000,

NEXT monthly income of at least $5,500, have savings of $275,000,

NEXT

NEXT

NEXT

NEXT IAS

related restrictions, for which India had requested the members of the Gulf Cooperation Council

IASrelated restrictions, for which India had requested the members of the Gulf Cooperation Council

IASIASIASOther programmes that have been introduced by UAE to bring in foreign residen

IASOther programmes that have been introduced by UAE to bring in foreign residents

IASts

IASThe UAE has also approved an amendment to its residency laws allowing foreign university

IASThe UAE has also approved an amendment to its residency laws allowing foreign university

IASstudents to bring their families with them to the UAE, as long as they can afford suitable

IASstudents to bring their families with them to the UAE, as long as they can afford suitable

IASaccommodation and have the financial means to support them.

IASaccommodation and have the financial means to support them.

IAS20, Dubai also launched a unique residency programme that permitted overseas IAS20, Dubai also launched a unique residency programme that permitted overseas IASworking professionals, who were working from home, to live in the UAE while continuing to IASworking professionals, who were working from home, to live in the UAE while continuing to IASIAS

also launched a fiveIASalso launched a five-IAS

-year renewable Retirement IASyear renewable Retirement IASIAS

The programme, called Retire in Dubai, is open to all retirees as long as they earn a IASThe programme, called Retire in Dubai, is open to all retirees as long as they earn a IASIASIASIAS

17

Facts in News

Char Dham project (Infrastructure)

Recently, the Ministry of Railways announced that the Final Location Survey (FLS) for Broad Gauge (BG) rail connectivity to Char Dham is near completion.

● The Rail Vikas Nigam Limited, a Public Sector Enterprise under the Ministry of Railways was entrusted to undertake the Final Location Survey (FLS)

Key Points● Under this project, the Chardham (also known as Chota Char Dham) i.e;

Gangotri, Yamunotri, Badrinath, and Kedarnath will be connected by the railway line.

○ Location: Garhwal (Uttarakhand)● Aim: To promote pilgrimage as well as tourism. ● Length: 327 km● Benefits:

○ The state-of-the-art technology will be put to use to ensure that no harm is caused to the fragile Himalayan ecology.

○ A large chunk of the budget will be spent on measures to prevent calamities like landslides and conserve the environment.

Image Courtesy: Indian ExpressChardham Road Project

● Administered by: Ministry of Road and Transport○ Implementation by: Uttarakhand State Public Works Department

(PWD), BRO, and the National Highway & Infrastructure Development Corporation Limited (NHIDCL).

○ Length: 889 km● Construction by: Border Roads Organization (BRO)

○ BRO works under the administrative control of the Ministry of Defence.

○ Established in:1960● This highway construction has been implemented in Engineering,

Procurement and Construction (EPC) mode (under which the project cost is completely borne by the government).

NEXT A large chunk of the budget will be spent on measures to prevent

NEXT A large chunk of the budget will be spent on measures to prevent calamities like landslides and conserve the environment.

NEXT calamities like landslides and conserve the environment.

NEXT Image Courtes

NEXT Image CourtesChardham Road Project

NEXT Chardham Road Project

●

NEXT ●

NEXT

NEXT

NEXT IAS

Rail Vikas Nigam Limited, a Public Sector Enterprise under the

IASRail Vikas Nigam Limited, a Public Sector Enterprise under the

Ministry of Railways was entrusted to undertake the Final Location Survey

IASMinistry of Railways was entrusted to undertake the Final Location Survey

Under this project, the Chardham (also known as Chota Char Dham) i.e;

IASUnder this project, the Chardham (also known as Chota Char Dham) i.e; and Kedarnath will be connected by the

IASand Kedarnath will be connected by the

Garhwal (Uttarakhand)

IASGarhwal (Uttarakhand)To promote pilgrimage as well as tourism.

IASTo promote pilgrimage as well as tourism.

art technology will be put to use to ensure that no IASart technology will be put to use to ensure that no

harm is caused to the fragile Himalayan ecology. IASharm is caused to the fragile Himalayan ecology. A large chunk of the budget will be spent on measures to prevent IASA large chunk of the budget will be spent on measures to prevent calamities like landslides and conserve the environment.IAScalamities like landslides and conserve the environment.IAS

18

Ayush Clinical Case Repository (ACCR) portal (Health)

The Ministry of Ayush (Ayurveda, Yoga, Naturopathy, Unani, Siddha, Sowa-Rigpa and Homoeopathy) will be going to launch Ayush Clinical Case Repository (ACCR) Portal and Ayush Sanjivani (third version) mobile application. Key Features

● ACCR portal will provide access to clinical outcomes in the field of alternative therapy, and further research and analysis.

● This portal will serve as a platform to support both Ayush practitioners and the general public.

● Aim: To portray the strengths of Ayush systems for the treatment of various disease conditions.

● Ayush Sanjivani App:○ The third version of this app will facilitate a significant study and

documentation regarding the efficacy of selected Ayush interventions, including Ayush 64 and Kabasura Kudineer medicines in the management of asymptomatic and mild to moderate COVID 19 patients.

Laurence des Cars (Art and Culture)

Recently, Laurence des Cars has become the first woman to be appointed the president of Louvre – the world’s largest art museum in Paris.

Key Points● Des Cars is known for the restitution of art looted by the Nazis during World

War II. ● Louvre is the home of world-famous Mona Lisa paintings.

○ It is 228 years old and the world’s most visited museum.

Image Courtesy: LouvreNEXT Des Cars is known for the restitution of art looted by the Nazis during World

NEXT Des Cars is known for the restitution of art looted by the Nazis during World War II.

NEXT War II. Louvre is the

NEXT Louvre is the home of world

NEXT home of world○

NEXT ○ It is 228 years old and the world’s most visited museum.

NEXT It is 228 years old and the world’s most visited museum.

NEXT

NEXT

NEXT

NEXT IAS

This portal will serve as a platform to support both Ayush practitioners and

IASThis portal will serve as a platform to support both Ayush practitioners and

To portray the strengths of Ayush systems for the treatment of various

IASTo portray the strengths of Ayush systems for the treatment of various

The third version of this app will facil

IASThe third version of this app will facilitate a significant study and

IASitate a significant study and documentation regarding the efficacy of selected Ayush

IASdocumentation regarding the efficacy of selected Ayush interventions, including Ayush 64 and Kabasura Kudineer

IASinterventions, including Ayush 64 and Kabasura Kudineer medicines in the management of asymptomatic and mild to IASmedicines in the management of asymptomatic and mild to moderate COVID 19 patients.IASmoderate COVID 19 patients.

Recently, Laurence des Cars has become the first woman to be appointed the IASRecently, Laurence des Cars has become the first woman to be appointed the

the world’s largest art museum in Paris.IASthe world’s largest art museum in Paris.

Des Cars is known for the restitution of art looted by the Nazis during World IASDes Cars is known for the restitution of art looted by the Nazis during World IAS

19

Citizenship by Investment Programme (IR)

Now, the Citizenship by Investment Programme has become a trend among wealthy

Indians to settle abroad.

Citizenship by Investment Programme

● Citizenship by Investment or Economic Citizenship is a scheme by which a

person becomes a naturalised citizen of another country by investing in that

country.

○ The amount of investment varies from country to country.

○ These are often known as golden passport or cash-for-passport

programs, offering visa-free travel and possible tax advantages.

○ The concept of the Citizenship by Investment Programme was

started in St. Kitts and Nevis.

● While many countries, including India, Australia and Canada etc, offer

permanent residency status after a significant contribution to the economy

and proof of residency in that country for a number of years.

○ If a foreigner invests an amount from Rs. 10 to Rs. 25 crores in India

then he/she will be granted permanent residency status for a period

of 10 years initially with multiple entry facility.

○ This scheme will not be applicable to Pakistani citizens or third-

country nationals of Pakistani origin.

NEXT While many countries, includ

NEXT While many countries, includ

permanent residency status after a significant contribution to the economy

NEXT permanent residency status after a significant contribution to the economy

and proof of residency in that country for a number of years.

NEXT and proof of residency in that country for a number of years.

○

NEXT ○ If a foreigner invests an amount from Rs. 10 to Rs. 25 crores in India

NEXT If a foreigner invests an amount from Rs. 10 to Rs. 25 crores in India

then

NEXT then he/she will be granted permanent residency status for a period

NEXT he/she will be granted permanent residency status for a period

of 10 years initially with multiple entry facility.

NEXT of 10 years initially with multiple entry facility.

○

NEXT ○ This scheme will not be applicable to Pakistani citizens or third

NEXT This scheme will not be applicable to Pakistani citizens or third

country nationals of Pakistani origin.

NEXT country nationals of Pakistani origin.

NEXT

NEXT

NEXT

NEXT IAS

Citizenship by Investment or Economic Citizenship is a scheme by which a

IASCitizenship by Investment or Economic Citizenship is a scheme by which a

person becomes a naturalised citizen of another country by investing in that

IASperson becomes a naturalised citizen of another country by investing in that

The amount of investment varies from country to

IASThe amount of investment varies from country to country.

IAScountry.

These are often known as golden passport or cash

IASThese are often known as golden passport or cash-

IAS-for

IASfor-

IAS-passport

IASpassport

programs, offering visa

IASprograms, offering visa-

IAS-free travel and possible tax advantages.

IASfree travel and possible tax advantages.

The concept of the Citizenship by Investment Programme was IASThe concept of the Citizenship by Investment Programme was

started in St. Kitts and Nevis.IASstarted in St. Kitts and Nevis.

While many countries, includ IASWhile many countries, including India, Australia and Canada etc, offer IAS

ing India, Australia and Canada etc, offer

permanent residency status after a significant contribution to the economy IASpermanent residency status after a significant contribution to the economy

and proof of residency in that country for a number of years.IASand proof of residency in that country for a number of years.

20

National Pension System (NPS) and Atal Pension Yojana (APY) (Government Schemes)

Recently, the Pension Fund Regulatory and Development Authority (PFRDA) has mentioned its assets have crossed Rs 6 lakh crore under the National Pension System (NPS) and Atal Pension Yojana (APY).National Pension System

● It is a voluntary contribution pension system in India, works under the purview of the Pension Fund Regulatory and Development Authority (PFRDA).

● Launched in: 2004● Eligibility: Citizens of India and NRIs (also OCI cardholders) can invest in

the scheme.● Age Limit: 18-65 years.● NPS is a quasi-EET (Exempt, Exempt, Taxable) instrument in which

only 40% maturity amount is non-taxable.● Account type: Tier I and Tier II.

○ A subscriber can withdraw a part of the corpus in a lump sum and use the remaining corpus to buy an annuity to secure a regular income after retirement.

○ The government didn’t provide any monetary assistance.

Atal Pension Yojana● This pension scheme was started for the people working in the unorganised

sector, administered by Pension Fund Regulatory and Development Authority (PFRDA).

○ Earlier it was known as Swavalamban Yojana.● Launched in: 2015● Eligibility: Only Citizens of India.● Age Limit: 18-40 years.● This scheme will be linked to the bank accounts opened under the Pradhan

Mantri Jan Dhan Yojana scheme and the contributions will be deducted automatically.

● Account Type: Single Consolidated Account○ The subscriber is not allowed to withdraw the money invested prior

to the term-end.○ In case of the unfortunate demise of the investor, or the investor has

a medical condition that withdrawal may be considered.Pension Fund Regulatory and Development Authority (PFRDA)

● Established in: 2003● Headquarters: New Delhi● It is the regulatory authority that works under the Ministry of Finance.● Objective: To promote, develop and regulate the pension sector in India.● Composition: Chairperson and not more than six members, of whom at

least three shall be whole-time members, to be appointed by the Central Government.

NEXT Atal Pension Yojana

NEXT Atal Pension YojanaThis pension scheme was started for the peo

NEXT This pension scheme was started for the peosector, administered by Pension Fund Regulatory and Development

NEXT sector, administered by Pension Fund Regulatory and Development Authority (PFRDA).

NEXT Authority (PFRDA).○

NEXT ○ Earlier it was known as Swavalamban Yojana.

NEXT Earlier it was known as Swavalamban Yojana.●

NEXT ● Launched in:

NEXT Launched in: 2015

NEXT 2015

●

NEXT ● Eligibility:

NEXT Eligibility: Only Citizens of India.

NEXT Only Citizens of India.

●

NEXT ● Age Limit:

NEXT Age Limit: 18

NEXT 18-

NEXT -40 years.

NEXT 40 years.

●

NEXT ● This scheme will be

NEXT This scheme will be linked to the bank accounts opened under the Pradhan

NEXT linked to the bank accounts opened under the Pradhan

Mantri Jan Dhan Yojana scheme and the contributions will be deducted

NEXT Mantri Jan Dhan Yojana scheme and the contributions will be deducted automatically.

NEXT automatically.

●

NEXT ● Account Type:

NEXT Account Type:

○

NEXT ○

Pension Fund Regulatory and Development Authority (PFRDA)NEXT Pension Fund Regulatory and Development Authority (PFRDA)NEXT

NEXT IAS

purview of the Pension Fund Regulatory and Development Authority

IASpurview of the Pension Fund Regulatory and Development Authority

Citizens of India and NRIs (also OCI cardholders) can invest in

IASCitizens of India and NRIs (also OCI cardholders) can invest in

EET (Exempt, Exempt, Taxable) instrument

IASEET (Exempt, Exempt, Taxable) instrument in which

IASin which only 40% maturity amount is non

IASonly 40% maturity amount is non-

IAS-taxable.

IAStaxable.Tier I and Tier II.

IASTier I and Tier II.n withdraw a part of the corpus in a lump sum and IASn withdraw a part of the corpus in a lump sum and

use the remaining corpus to buy an annuity to secure a regular IASuse the remaining corpus to buy an annuity to secure a regular income after retirement. IASincome after retirement.The government didn’t provide any monetary assistance.IASThe government didn’t provide any monetary assistance.

This pension scheme was started for the peoIASThis pension scheme was started for the people working in the unorganised IAS

ple working in the unorganised sector, administered by Pension Fund Regulatory and Development IASsector, administered by Pension Fund Regulatory and Development

21

Insurance FDI rules (Indian Economy)

The central government has allowed 74% Foreign Direct Investment (FDI) in Indian insurance companies.

● The measure was first announced in Budget 2021-22.Key Points:

● Currently, insurance penetration in India stood at 3.7% of the GDP compared to the world average of 6.31%.

● Growth in the life insurance sector has slowed to 11-12% currently from 15-20% until fiscal 2020.

● Under the guidelines, an Indian insurance company with 74 per cent foreignequity should have the majority of its directors, key management personnel, and at least one among the chairperson of its Board, its managing director and its chief executive officer; as resident Indian citizens.

● Benefits:○ Bring down the cost of insurance products in India. ○ Benefits to small insurance players or the ones where the sponsors

don’t have the ability to put in more capital.

R.N. Malhotra Committee:● Set up in 1993 (submitted report in 1994)● Aim: Make recommendations to make reforms in Indian Insurance Sector.● Major recommendations:

○ The private sector can be permitted to enter the insurance industry.○ The foreign companies can be allowed to enter by floating Indian

companies, preferably a joint venture with Indian partners.

NEXT Make recommendations to make reforms in Indian

NEXT Make recommendations to make reforms in Indian Major recommendations:

NEXT Major recommendations:The private sector can be permitted to enter the insurance industry.

NEXT The private sector can be permitted to enter the insurance industry.○

NEXT ○ The foreign companies can be allowed to enter by floating Indian

NEXT The foreign companies can be allowed to enter by floating Indian companies, preferably a joint venture with Indian partners.

NEXT companies, preferably a joint venture with Indian partners.

NEXT

NEXT IAS

12% currently from 15

IAS12% currently from 15

Under the guidelines, an Indian insurance company with 74 per cent forei

IASUnder the guidelines, an Indian insurance company with 74 per cent foreiequity should have the majority of its directors, key management personnel,

IASequity should have the majority of its directors, key management personnel, and at least one among the chairperson of its Board, its managing director

IASand at least one among the chairperson of its Board, its managing director and its chief executive officer; as resident Indian citizens.

IASand its chief executive officer; as resident Indian citizens.

Bring down the cost of insuran

IASBring down the cost of insurance products in India.

IASce products in India. Benefits to small insurance players or the ones where the sponsors IASBenefits to small insurance players or the ones where the sponsors don’t have the ability to put in more capital.IASdon’t have the ability to put in more capital.

(submitted report in 1994)IAS(submitted report in 1994)

Make recommendations to make reforms in Indian IASMake recommendations to make reforms in Indian

The private sector can be permitted to enter the insurance industry.IASThe private sector can be permitted to enter the insurance industry.