Pages From PMFIAS-CA-Monthly-2023-07-2

• The magnetosphere is the region above the ionosphere that is defined by the extent of the Earth's
magnetic field in space. It extends several tens of thousands of kilometres into space.
• It protects the Earth from the charged particles of the solar wind and cosmic rays that would other-
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wise strip away the upper atmosphere, including the ozone layer.
 The cosmic rays are kept out of the Solar system by the Sun's magnetosphere called the heliosphere.
PMF IAS CA JULY 2023
 While flowing toward Earth, the fast-moving solar wind carries with it the Sun’s magnetic field, which
disrupts the earth’s magnetosphere
 When the Sun’s magnetic field approaches Earth, the protective magnetic field radiating from our planet’s
poles deflects the former, thus shielding life on Earth.
• The solar wind is responsible for the overall shape of the earth’s magnetosphere. It is roughly shaped
like a hemisphere on the side facing the Sun, then is drawn out in a long trail (magnetotail) on the op-
posite side.
Auroras
• Aurora is the name given to the luminous glow in the upper atmosphere of the Earth which is pro-
duced by charged particles (solar wind) descending from the planet’s magnetosphere.
Formation
• When charged particles from the Sun interact with Earth’s magnetic field, positive ions slowly drift
westward, and negative ions drift eastward, giving rise to a ring current.
• The ring current reduces the magnetic field at the Earth’s surface.
• Due to the weak magnetic field, some of the charged particles penetrate the ionosphere and collide
with the atoms there. This results in an excitation of the oxygen and nitrogen molecular electrons.
• The molecules get back to their original state by emitting photons of light which are the aurorae.
• Oxygen atoms usually emit green and red light, while nitrogen molecules emit blue and purple light.
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Aurorae and High Solar Activity

• The charged particles funnel down the magnetic field lines which are oriented in and out of our planet
and near the magnetic poles. Therefore, auroral oval is mostly are seen to occur at high latitudes.
• But occasionally, the oval expands, and the lights become visible at lower latitudes. This happens
during periods of high solar activity, such as the arrival of solar storms.
Aurora Borealis and Aurora Australis
• In the northern part of our globe, the polar lights are called Aurora Borealis or Northern Lights and
are seen from the US (Alaska), Canada, Iceland, Greenland, Norway, Sweden and Finland.
• In the southern part of globe, they are called Aurora Australis or Southern Lights, and are visible from
high latitudes in Antarctica, Chile, Argentina, New Zealand and Australia.
Solar Storms
• Solar storms, also known as solar flares and coronal mass ejections (CMEs), are intense eruptions of
energy and charged particles from the Sun.
• They are caused by the release of magnetic energy stored in the Sun's atmosphere.
Solar Flares
• Solar flares are sudden and intense bursts of radiation that occur near sunspots, which are areas of
intense magnetic activity on the Sun's surface.
• Sunspots are dark, cooler areas that appear on the surface of the Sun. They are temporary phenomena
caused by intense magnetic activity in the Sun's photosphere (the visible surface layer).
Coronal Mass Ejections (CMEs)

• CMEs are massive eruptions of plasma and magnetic fields from the Sun's corona (the outermost
layer of the solar atmosphere).
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Geomagnetic Storms
• Solar activity drives the space weather varying conditions in the magnetosphere). If the solar wind is
weak, the magnetosphere expands, if it is strong, it compresses the magnetosphere & more of it gets in.
• Periods of intense solar activity, called geomagnetic storms, occur when a coronal mass ejection
erupts above the Sun & sends a shock wave through the Solar System.
• It takes just two days for the shock wave to reach the Earth. At the Earth's surface, a magnetic storm is
seen as a rapid drop in the Earth's magnetic field strength.
Effects of Geomagnetic Storms

• The ionosphere gets heated & distorted, which means that long-range radio communication that is
dependent upon sub-ionospheric reflection can be difficult.
• Ionospheric expansion can increase satellite drag, and it may become difficult to control their orbits.
• Geomagnetic storms disrupt satellite communication systems like GPS.
• Astronauts would face high radiation levels.
• Electric power grids would see a high increase in voltage that would cause blackouts.
• Creates auroras that are visible even in the middle latitues.
• Disrupt communication systems and power grids and pose as hazard to satellites and astronauts.
For more information > PMF IAS Physical Geography 1st Edition > Page 40-42
{GS1 – MIH – Personalities – 2023/07} Alluri Sitarama Raju
• Context (PIB): The 125th birth anniversary of Alluri Sitarama Raju is being observed.
• Sitarama Raju was born on July 4, 1897, into a middle-class family in a village near Visakhapatnam.
• The 4th of July, the individual’s birth date, is celebrated as a state festival of Andhra Pradesh.
• He was a sanyasi and a firm believer in justice who waged many battles against unlawful British policies.
• Sitarama Raju, under the influence of Gandhiji’s Non-cooperation movement, inspired the tribals to
seek justice in the local panchayat courts and boycott the colonial courts.
Rampa Rebellion (1922 to 1924)

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• In 1882, the British government introduced the Madras Forest Act,1882, which prohibited the tradi-
tional shifting cultivation practice known as Podu cultivation.

• This act compelled villagers to cultivate specific crops and imposed strict restrictions on their move-
ment within forest areas.
• Alluri Seetarama Raju led the renowned Rampa Rebellion or Manyam Rebellion (1922 to 1924) in the
Visakhapatnam-Godavari agency region of the former Madras Presidency.
• Seetarama Raju employed guerilla tactics during the rebellion.
• He fought against the British using traditional weapons like bows, arrows, and spears.
• He also established effective means of communication among the rebels by using whistles and drums.
• After an intense struggle spanning almost two years, he was apprehended by the British in the Chinta-
palli forests. He was subsequently executed by a firing squad at 27.
{GS1 – MIH – Personalities – 2023/07} Bal Gangadhar Tilak (Lokmanya Tilak)
• Context (PIB): PM Modi has paid tributes to Lokmanya Tilak on his Jayanti.
• Tilak was born on 23rd July 1856 in Ratnagiri, Maharashtra.

• He passed away on 1st August 1920, just before the launch of the Non-Coperation Movement.
Ideology
Nationalist Revolutionary
• Tilak was a revolutionary nationalist and extremist leader.
• He preached the message of self-respect, Swadeshi, and Swarajya (self-rule).
• He stressed that there could be no progress without self-rule (swarajya).
• He publicly supported the efforts to assassinate Presidency Magistrate Douglas Kingsford in 1908.
• Mahatma Gandhi called him The Maker of Modern India, while Jawaharlal Nehru described him as
The Father of the Indian Revolution (Unrest).
Devout Hindu
• Tilak was a devout Hindu who advocated for cultural and religious revival and used Hindu scriptures
to inspire people to fight oppression.
• He popularised Ganesh Chaturthi and propounded the celebration of Shiv Jayanti on the birth anniver-
sary of Chhatrapati Shivaji to propagate nationalist ideas and foster a sense of national identity.
Swadesh
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• Swadeshi Wastu Pracharini Sabha was started by Tilak in 1905.

• It aimed to start certified Swadeshi shops.
Contribution Towards Education

• Tilak and others started the New English School (1880) in Pune.
• He and his associate Gopal Ganesh Agarkar founded the Deccan Education Society (1884).
• He is among the founders of Fergusson College (1885), Pune.
• The New English School and the Fergusson College functioned under the Deccan Education Society.
Books by Tilak
1. The Orion, Or, Researches Into the Antiquity of the Vedas (English)
2. The Arctic Home in the Vedas (English; about the origins of the Indo-Aryan people)
3. Gita Rahasya (Marathi; authored in 1915 while he was in prison at Mandalay, Burma. According to
him, the real message behind the Bhagavad Gita is Nishkam Karmayoga (selfless action), rather than
Karma Sanyasa (renouncing of actions))
Freedom of the Press

• Tilak started two newspapers in 1881:
1. Kesari (Marathi)
2. The Mahratta (English)
Sedition Charges
• Tilak's activism, appealing to Hindu symbolism and Maratha history, excited the populace and brought
him into conflict with the British government.
• His articles criticising the British government's handling of the plague epidemic in Pune inspired the
Chapekar brothers to assassinate Commissioner Rand and Lt. Ayerst in 1897.
• He had been tried for sedition charges thrice by British Indian Government— in 1897, 1908 and 1916.
• He was sentenced to 18 months of imprisonment in 1897 and 6 years in 1908.
• His prosecution for sedition gained him more popularity, earning him the title Lokamanya (”Beloved
Leader of the People”).
Home Rule League

• Tilak founded the All India Home Rule League in 1916 with Joseph Baptista, Annie Besant and Mu-
hammad Ali Jinnah to reunite with his fellow nationalists and to propagate the message of Swaraj.
• It was restricted to Maharashtra (excluding Bombay City), Karnataka, Central Provinces, and Berar.
• Poona was the headquarters of his league. He held his first home rule meeting at Belgaum.
{GS2 – Empowerment – 2023/07} Prevention of Sexual Harassment (PoSH) Act
• Context (TH): The SC has refused to entertain a plea seeking directions to protect complainants in cases
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under PoSH Act at workplaces from victimisation or retaliation by accused persons.

• Context (PIB): Provisions of the POSH Act, 2013 apply to all National Sports Federations (NSFs),
says the Minister of Youth Affairs and Sports.
• Prevention of Sexual Harassment (PoSH) Act or Sexual Harassment of Women at Workplace (Pre-
vention, Prohibition and Redressal) Act was enacted in 2013 to implement the Vishakha guideline.
• It defines sexual harassment in the workplace and creates a mechanism to redress complaints.
• The PoSH Act defines sexual harassment to include unwelcome acts such as physical contact and sexu-
al advances, a demand or request for sexual favours, making sexually coloured remarks, showing
pornography, and any other unwelcome physical, verbal, or non-verbal conduct of a sexual nature.
• It covers concepts of quid pro quo (a favour or advantage granted in return for something) harassment
and hostile work environment as a form of sexual harassment if they occur in connection with the act.
Safeguard mechanisms
Internal Complaints Committee (ICC)

• The law requires any employer with over ten employees to form an ICC.
• Any woman employee can approach ICC and file a formal sexual harassment complaint.
• ICC has to be headed by a woman, have at least two women employees, another employee, and a third
party such as an NGO worker with five years of experience, familiar with the challenges of sexual har-
assment.
Local Area Committee (LAC)

• The Act mandates every district in the country to create a Local Area Committee (LAC) to receive com-
plaints from women working in firms with less than ten employees and from the informal sector, in-
cluding domestic workers, home-based workers, voluntary government social workers and so on.
Lacunae
• PoSH act is not Gender Neutral. Men also face Sexual harassment, but POSH Act protects only women.
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Therefore, the safeguards under the POSH Act do not apply to ‘men victims'.
Vishaka Guidelines
• Vishaka Guidelines were stipulated by the SC, in Vishaka and others v State of Rajasthan case in
1997, regarding sexual harassment at the workplace.
• SC stated that these guidelines would be implemented until legislation is passed to deal with the issue.
SHe-Box
• It is an online platform to file complaints related to sexual harassment at the workplace, hence ensur-
ing effective implementation of the PoSH Act.
{GS2 – Governance – Regulations – 2023/07} Dark Patterns
• Context (TH | IE | TH): The Department of Consumer Affairs and the Advertising Standards Council
of India (ASCI) recently consulted with stakeholders on the menace of dark patterns.
• Dark pattern is a deceptive practice employed to influence user behaviour in a way that benefits the
company implementing it.
• For example, when we receive a pop-up request for personal information, we find locating the ‘reject or
close’ link/button challenging.
• The Consumer Affairs Ministry has identified nine types of dark patterns used by e-com companies:
1. Creating a sense of false urgency or scarcity.
2. Basket sneaking: Adding additional products to the shopping cart without the user’s consent.
3. Confirm shaming: Criticises consumers for not conforming to a particular belief.
4. Forced action: Pushes consumers into taking an action they may not want to take.
5. Nagging: Persistent criticism, complaints, and requests for action.
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6. Subscription traps: Easy to sign up for a service but difficult to quit or cancel.
7. Bait & switch: Advertising a certain product/service but delivering another, often of lower quality.
8. Hidden costs: Hiding additional costs until consumers are committed to making a purchase.
9. Disguised ads: Designed to look like content, such as news articles or user-generated content.
Advertising Standards Council of India (ASCI)

• ASCI is a voluntary self-regulatory organisation comprising members from India's marketing, creative,
media, and allied companies.
• It was established in 1985 under the Company Act.
Consumer Protection
• Currently, there are no specific regulations in place in most nations against dark patterns. Individuals
who have experienced harm may potentially seek compensation for damages.
• Deceptive patterns that manipulate consumer choice and impede their right to be well-informed consti-
tute unfair practices prohibited under the Consumer Protection Act 2019.
How do we address dark patterns?

• Currently, companies are being asked to desist from using such tactics in the e-market.
• However, with the growing use of e-platforms, a robust legal mechanism is needed.
• The GoI should amend the existing laws to address dark patterns specifically.
{GS2 – Health – Issues – 2023/07} Antimicrobial Resistance (AMR)
• Context (TH): Cefepime/zidebactam, an Indian antibiotic showing promising results against Extensive-
ly Drug-Resistant Pseudomonas aeruginosa, a highly drug-resistant infection.
Pseudomonas aeruginosa
• Pseudomonas aeruginosa is a gram-negative bacterium that is associated with many infections ac-
quired in hospitals. It is widely distributed in the environment.
 Gram-negative bacteria are enclosed in a protective capsule that protects them from white blood
cells (which fight infection) and antibiotics.
 Infections caused by these bacteria include cholera, E. coli, plague, salmonella (a digestive infection
caused by contaminated food), and typhoid fever.
What is Antimicrobial Resistance (AMR)?

• Antimicrobials include antibiotics, antiviral, antifungal & anti-parasitic medication.
• Antimicrobial resistance is defined as a microorganism’s resistance to an antimicrobial drug that
was once able to treat an infection by that microorganism.
• For example, in Multi-Drug Resistant TB (MDR-TB), the TB bacteria are resistant to two of the essential
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TB drugs, isoniazid (INH) and rifampicin (RMP).

Causative Factors behind AMR

• Microorganisms can develop resistance and become Superbugs mainly in two ways:
1. Intrinsic resistance: refers to the inherent resistance of certain bacteria to specific antibiotics.
2. Acquired resistance: refers to the resistance developed in bacteria due to genetic mutation.
Causes behind Acquired Antimicrobial Resistance
➢ Overuse and improper use of antimicrobials.
➢ Greater access to over-the-counter antibiotic drugs in developing countries.
➢ Using broad-spectrum antibiotics over narrow-spectrum antibiotics.
➢ Inadequate dumping of pharmaceutical industry effluents.
➢ Antibiotic use in livestock feed.
{GS2 – Health – Issues – 2023/07} Artificial Sweeteners
• Context (LM | TG): After WHO declared Aspartame as ‘potentially cancer-causing’, now another arti-
ficial sweetener called Sucralose is under scanner as it can cause DNA damage and leaky gut.
 Leaky gut refers to increased intestinal permeability, potentially allowing substances to enter the blood-
stream instead of being properly eliminated.
• Artificial sweeteners (or non-sugar sweeteners) are intensely sweet chemicals (several times sweeter
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than sugar) used to sweeten food while adding very little or no calories.
WHO has recently suggested not to use artificial sweeteners to control weight gain or prevent lifestyle
•
diseases such as diabetes.
• The artificial sweeteners WHO has warned against are acesulfame K (Ace-K), aspartame, advantame,
cyclamates, neotame, saccharin, sucralose, and stevia.
Adverse Effects of Artificial Sweeteners

• Natural sugar/glucose is processed and either stored as glycogen (the stored form of glucose in the
liver) or turned into fatty acids and deposited into fat cells. However, the human body isn’t designed
to process artificial sweeteners (human-made chemicals).
• Though artificial sweeteners could lead to weight loss and reduction in body mass index (BMI) in the
short term, they might cause weight gain in the long run.
• Higher intake of these sweeteners increases the risk of type-2 diabetes and cardiovascular diseases.
• They can also cause bladder cancer and preterm birth (when consumed by pregnant women).
Artificial Sweetener Source
Sucralose Made from adding chlorine to sugar molecules.
Saccharin The oldest artificial sweetener.
Made from benzoic sulfonimine, which is up to 700 times sweeter than table sugar.
Acesulfame Made from acesulfame potassium.
Aspartame Made from the amino acids phenylalanine, aspartic acid and includes methanol.
Neotame Similar to aspartame and made from phenylalanine and aspartic acid.
Stevia Extracted from the leaves of the stevia plant. The extracts are processed before
they're packaged and sold, putting them in the same category as an artificial sweet-
ener.
Sugar alcohols Sugar molecules with alcohol attached. Naturally occurrs in some fruits.
{GS2 – IR – Groupings – 2023/07} BIMSTEC
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• Context (IE): The first-ever Foreign Ministers meeting of the Bay of Bengal Initiative for Multi-
Sectoral Technical and Economic Cooperation (BIMSTEC) began in Bangkok, Thailand.
• BIMSTEC is an international organisation of seven South Asian and Southeast Asian nations.
• BIMSTEC was formed in 1997 through the Bangkok Declaration.
• Fourteen priority sectors of cooperation have been identified, and several BIMSTEC centres have been
established to focus on those sectors.
• Leadership is rotated in alphabetical order of country names.
• The permanent secretariat is in Dhaka, Bangladesh.
{GS2 – IR – Groupings – 2023/07} CPTPP
• Context (TH/IE): the U.K. formally signs up to the trans-Pacific trading bloc CPTPP.
• Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) is a free trade
agreement (FTA) signed by 11 countries in 2018.
• It incorporates the provisions of the Trans-Pacific Partnership (TPP) Agreement (signed but not yet in
force), except for a limited set of suspended provisions.
• CPTPP requires countries to eliminate or significantly reduce tariffs and firmly commit to opening
services and investment markets.
Members of CPTPP
• Canada, Japan, Australia, New Zealand, Brunei, Chile, Malaysia, Mexico, Peru, Singapore and Vietnam.
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• The U.K. has become the first European nation to sign CPTPP. It will become a member after it ratifies.
• China, Taiwan, Ukraine, Costa Rica, Uruguay and Ecuador have applied to join the group.
Importance for UK
✓ It is seen as a bulwark against China’s dominance in the region.
✓ Since Brexit, the UK has sought other trade deals with countries and trading blocs around the world.
CPTTP will cut tariffs for UK exports to Asia Pacific countries.
Scepticism
➢ CPTTP will struggle to compensate for the economic damage sustained by leaving the EU.
➢ The UK already has trade deals with ten of the eleven CPTPP members, and the eventual economic boost
will be minuscule.
Free Trade Agreement (FTA)

• An FTA is a pact between two or more nations to reduce barriers to imports and exports among them.
• Under a free trade policy, goods and services can be bought and sold across international borders with
minimal government tariffs, quotas, subsidies, or prohibitions to inhibit their exchange.
• In an FTA, the countries agree on certain obligations such as investor protections, intellectual proper-
ty rights, anti-dumping, etc.
• For the developed nations, the main goal of FTAs is to reduce barriers to exports, protect interests com-
peting abroad, and enhance the rule of law in the FTA partner country or countries.
• For developing nations, the main goal is to protect against dumping and anti-competitive trade
practices while promoting exports.
Trans-Pacific Partnership (TPP)

• The Trans-Pacific Partnership (TPP) was a proposed FTA between twelve Pacific Rim economies: Aus-
tralia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, NZ, Peru, Singapore, Vietnam, and the US.
• TPP was initially touted to be path-breaking for free trade but fizzled out with the withdrawal of the US.
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• The remaining countries negotiated the CPTPP, which incorporates most of the provisions of the TPP.
Regional Comprehensive Economic Partnership (RCEP)

• RCEP is an FTA among the Asia-Pacific nations of Australia, Brunei, Cambodia, China, Indonesia, Japan,
South Korea, Laos, Malaysia, Myanmar, NZ, the Philippines, Singapore, Thailand, and Vietnam.
• While the US spearheaded TPP negotiations, China pushed for RCEP.
India’s concerns that led to the withdrawal from RCEP
• India (a protectionist nation with high tariffs) withdrew from RCEP negotiations in 2019.
Cheaper imports and Widening Trade Deficit

• India feared domestic sectors like steel, textiles, farm, dairy, etc., would be hit by cheaper alternatives
from other RCEP countries that employ cheaper and more efficient industry processes.
Farm sector is not excluded

• India has excluded agriculture from import liberalisation, both in the WTO and bilateral FTAs.
• But RCEP was hell-bent on bringing even the farm sector under import liberalisation.
Why the Dairy sector vehemently opposes FTAs like RCEP?

• Global dairy trade occurs not in milk but in its solid derivatives like milk powder, butter and cheese.
• The MNC firms operating in India are forced to buy milk from Indian farmers as India’s dairy imports
are low due to high tariffs, especially on milk powder (60%) and fats (40%).
• FTAs like RCEP will make milk imports cheaper, and MNC firms will prefer importing milk products from
New Zealand or Australia rather than buying from India.
• 5% of New Zealand’s exports in the dairy sector is enough to flood India’s domestic market.
• While 70 million households depend on the dairy sector in India, the number is just 10,000 in New
Zealand (a temperate country with ideal conditions for dairy farming).
FTAs are essential for Global Value Chain (GVC)

• A global value chain (GVC) is the series of stages in producing a product or service.
• The GVCs exploit hyper specialisation for greater efficiencies.
• They do so by breaking down the production process across countries.
Explanation
• The common notion of international trade is that one country exports product X to the second country
and imports product Y from the second country.
• However, due to an increased level of fragmentation and optimisation of the production process, this
is not how most of the trade happens.
• Product X is never entirely made in the first country. Instead, the production cycle involves half-made
goods crisscrossing a country’s borders — sometimes as exports and at other times as imports.
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• The final product may be given the last touch in the first country, but the “value chain” involves trad-
ing across several national boundaries.
Example of Global Value Chain

• The mechanical parts of German-made vehicles are manufactured in Germany as German engineers are
masters at the craft of efficient manufacturing.
• However, the electronics for the vehicle are imported from Chinese, Taiwanese or South Korean firms
as these countries are pioneers of electronics manufacturing.
• And the software for the vehicles is designed in Indian software hubs like Bengaluru.
• The final product is assembled in Germany or any other country and exported worldwide.
Why integrating into the Global Value Chans is essential?

• Productivity and incomes rose in countries that became integral to GVCs — Bangladesh, China, and
Vietnam, among others. The steepest declines in poverty occurred in precisely those countries.
• GVCs allow resources to flow to their most productive use, not only across countries and sectors but
also within sectors across stages of production. As a result, GVCs magnify growth and employment.
What is India’s participation in GVCs?

• India’s integration with GVCs is among the lowest in G20 countries.
• India cannot miss out on being a part of GVCs, which can happen only if tariffs are reduced.
• It should work on reducing its dependence on agriculture for employment generation by squeezing
itself into the GVCs through FTAs like RCEP to boost manufacturing.
{GS2 – IR – Groupings – 2023/07} Group of Twenty (G20)
• Context (TH): The 2023 G20 summit was held in Srinagar.

• G20 is the forum for international economic cooperation consisting of 19 countries and the EU.
• It brings together the world’s developed and developing economies, accounting for two-thirds of the
world’s population, 75 per cent of international trade and 85 per cent of the global GDP, making it
an influential forum for international economic cooperation.
Evolution of G20
• G20 was founded in 1999 after the Asian financial crisis as a forum for Finance Ministers and Central
Bank Governors to discuss global economic and financial issues.
• The G20 was upgraded to the level of Heads of State in the wake of the 2007 global financial crisis.
• In 2009, it was designated the “premier forum for international economic cooperation”.
• The G20 initially focused mainly on broad macroeconomic issues, but it has since expanded its agen-
da to include sustainable development, health, energy, environment, climate change, & anti-corruption.
G20 Members
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• G20 comprises Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan,
South Korea, Mexico, Russia, Saudi Arabia, South Africa, Turkey, the UK and the US) and the EU.
G20 Presidency
• The G20 Presidency is responsible for bringing together the G20 agenda in consultation with other
members and responding to global economic developments.
• India holds the Presidency of the G20 from 1 December 2022 to 30 November 2023.
• As the G-20 presidency, India sets the agenda for the year, identifies the themes and focus areas, con-
ducts discussions and works out outcome documents.
Troika
• The Troika supports the Presidency. It consists of the previous, current, and upcoming presidency.
• During India’s Presidency, the Troika comprised of Indonesia, India and Brazil.
G20 Sherpa
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• Sherpas are special envoys of G20 leaders. They are representatives of member countries and are ap-
pointed directly by the Head of Government. Amitabh Kant was India’s 2023 G20 Sherpa.
How G20 Works

• G20 has no fixed headquarters or a permanent Secretariat. The secretariat moves by rotation be-
tween the countries hosting the Presidency of the grouping each year.
• The G20 Presidency steers the G20 agenda for one year and hosts the Summit.
• The G20 consists of two parallel tracks:
1. Finance Track led by Finance Ministers and Central Bank Governors of the member countries.
2. Sherpa Track led by the Sherpas of member countries.
• There are working groups in which representatives from the relevant ministries of the members, invit-
ed/guest countries, and various international organisations participate.
• These working groups meet regularly throughout the term of each Presidency.
• In addition, there are Engagement Groups that bring together civil societies, parliamentarians, think
tanks, women, youth, labour, businesses and researchers of the G20 countries.
G20 Summit
• The G20 Summit is held annually under the leadership of a rotating Presidency.
• The first G20 Summit was held in 2008 in Washington, DC.
• The US is the only country that hosted the summit twice in 2008 and 2009.
2023 G20 Summit

• 2023 G20 summit is India's first G20 summit as a host country. PM Modi is the current G20 Chairman.
• India invited Bangladesh (India did not invite any other neighbour), Egypt, Mauritius, Netherlands,
Nigeria, Oman, Singapore, Spain and UAE as Guests for the 2023 G20 summit held in Kashmir.
• “One Earth, One Family, One Future” is the G20 theme during India’s Presidency.
{GS2 – IR – Groupings – 2023/07} NATO Summit 2023
• Context (TH): 2023 NATO summit was held in Vilnius, the capital of Lithuania. The highlights include:
1. Creation of NATO-Ukraine Council
2. Inclusion of Finland
3. Changing stance of the USA
North Atlantic Treaty Organization (NATO)

• NATO is a political and military alliance created in the aftermath of World War II by 12 countries from
Europe and North America in 1949.
• The Washington Treaty (North Atlantic Treaty) forms the basis of NATO.
• The headquarters of NATO is in Brussels, Belgium, while the Allied Command Operations headquar-
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ters is near Mons, Belgium.

During the Cold War, NATO operated as a check on the threat posed by the Soviet Union (USSR).
•
• The alliance remained in place after the dissolution of the Soviet Union and the Warsaw Pact.
Functioning
• North Atlantic Council is NATO's principal political decision-making body.
• The principle of collective defence (an attack against one Ally is an attack against all) is enshrined
in Article 5 of the North Atlantic Treaty, which commits NATO members to mutual defence.
Member States
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• Currently, NATO comprises 31 countries (29 European + 2 North American).
• NATO makes its decisions by consensus. Hence, if a new country wants to join NATO, it must be sup-
ported by all other members. Any of its member countries can veto a new member.
• For example, Turkey opposes Sweden’s wish to join NATO due to its alleged support of Kurdish militants.
Post-Cold War Era

• When the Soviet Union collapsed in 1991, questions were raised about NATO’s relevance and future.
• NATO succeeded in refashioning from collective defence to collective security.
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• It has been a mutually beneficial arrangement, offering security to Europe at a low price.
• For the U.S., NATO has been an ideal vehicle for power projection worldwide.
• NATO has been involved in military operations in the Balkans, the Middle East, South Asia, and Africa.
 Switzerland, Moldova and Belarus are neither NATO nor EU members.
 Austria is a member of the EU but not NATO
 The UK is a member of NATO but not the EU.
Warsaw pact
• It was a collective defence treaty signed in 1955 by Russia and seven other states to counter the US-led
NATO. (All these seven states are now members of NATO)
• It was abolished in 1991.
Collective Security Treaty Organization (CSTO)

• The USSR's successor Russia and some other post-Soviet states joined the CSTO in 1992.
• Current members of CSTO are Russia, Kazakhstan, Kyrgyzstan, Tajikistan, Armenia and Belarus.
NATO Summit 2023
NATO-Ukraine Council
• It replaced the NATO-Ukraine Commission.
• It is a joint body where NATO Allies and Ukraine participate as equals.
• It provides for joint consultations, decision-making and activities.
• It also serves as a crisis consultation mechanism between NATO and Ukraine.
The inclusion of Finland and approval of Sweden as NATO members

• Turkey previously opposed Sweden and Finland joining NATO because of their alleged support for
Kurdish militants. Now, Turkey has changed its stance and no longer holds that opposition.
USA's stance on NATO

• At the summit, President Biden strongly supported NATO and Ukraine.
• This is significant because President Trump had a different approach and considered leaving NATO.
Nato Plus
• Context (TH): The U.S. has expressed openness to greater engagement with India within NATO, with
discussions of including India in the NATO-Plus framework.
• India rejects the idea because joining this NATO framework, which primarily aims to contain China,
can potentially undermine India's autonomy.
• Nato Plus is a grouping of NATO and five countries Australia, New Zealand, Japan, Israel, and
South Korea. The group works toward boosting global defence cooperation.
Advantages for India if it joins the NATO Plus

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✓ India would gain access to seamless intelligence sharing between these countries.
✓ India would get access to the latest military technology without much of a time lag.
✓ It would further strengthen India’s defence partnership with the United States.
• Switzerland, Moldova and Belarus are neither NATO nor EU members.
• Austria is a member of the EU but not NATO
• The UK is a member of NATO but not the EU.
Warsaw pact
• It was a collective defence treaty signed in 1955 by Russia and 7 other states to counter the US-led
NATO. (All these 7 states are now members of NATO)
• It was abolished in 1991.
Collective Security Treaty Organization (CSTO)

• The USSR's successor Russia and some other post-Soviet states joined the CSTO in 1992.
• Current members of CSTO are Russia, Kazakhstan, Kyrgyzstan, Tajikistan, Armenia and Belarus.
{GS2 – IR – Groupings – 2023/07} Paris Club
• Context (TH): China will not join the official creditors’ platform negotiating a common debt treatment
plan with Sri Lanka.
• In May 2023, 17 countries that have extended loans to Sri Lanka formed an official creditor committee
to discuss Sri Lanka’s request for debt treatment.
• India, Japan, and France co-chaired the official creditor committee.
Paris Club
• The Paris Club is an informal group of official creditors, primarily Western nations.
• Its role is to find sustainable solutions to the payment difficulties experienced by debtor countries.
• As debtor countries undertake reforms to stabilise and restore their macroeconomic and financial situa-
tion, Paris Club creditors provide an appropriate debt treatment.
• Currently, Paris Club consists of 20 members.
• India and China are not members of the Paris Club.
{GS2 – IR – Groupings – 2023/07} Shanghai Cooperation Organisation
• Context (TH): India chaired the SCO’s Council of Heads of State on July 4 for the first time.
• PM Modi “virtually hosted” the presidents of Russia, China, and Central Asian Presidents and the PM of
Pakistan. The summit was planned initially as an in-person summit for the leaders in Delhi.
• Iran became the new permanent member of the SCO at this India-hosted summit of the grouping.
Shanghai Cooperation Organisation (SCO)

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• SCO is an Eurasian intergovernmental organisation and economic and security alliance.

• It emerged as the successor to the Shanghai Five, established in 1996 and consisting of China, Ka-
zakhstan, Kyrgyzstan, Russia, and Tajikistan.
• SCO was formally formed in 2001 by including Uzbekistan.
• India and Pakistan joined the grouping in 2017 in its first round of expansion.
Members States
• Members (9): China, India, Kazakhstan, Kyrgyzstan, Russia, Pakistan, Tajikistan, Uzbekistan & Iran.
• Three Observes interested in full membership: Afghanistan, Belarus, and Mongolia, and
• Several Dialogue Partners that include Maldives, Myanmar, Nepal, Saudi Arabia, Sri Lanka, etc.
Importance
• SCO is the largest regional organisation globally, covering around 60% of the Eurasian landmass
and 40% of the world's population.
• The SCO member states collectively contribute to ~20% of the global GDP.
Governance
• SCO mainly focuses on regional development and security issues like regional terrorism, ethnic sepa-
ratism, religious extremism, etc.
• It is governed by the Heads of State Council (HSC), its supreme decision-making body, which meets
once a year.
• The SCO's official languages are Russian and Chinese.
Presidency
The rotational presidency of SCO has been handed over to India in Samarkand, Uzbekistan, in 2022.
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•
• India will hold the presidency of the grouping for the first time for a year until September 2023.
• The next meeting of the SCO-HSC will be held in 2024 in Kazakhstan.
Regional Anti-Terrorist Structure

• The Regional Anti-Terrorist Structure (RATS) is a permanent organ of the SCO that serves to promote
cooperation of member states against the three evils of terrorism, separatism and extremism.
• It is headquartered in Tashkent.
• The head of RATS is elected for a three-year term.
Tourism and Cultural Capital

• Varanasi has been selected as the SCO region’s first “Tourism and Cultural Capital” for 2022-23.
• SCO will rotate the ‘Cultural and Tourism Capital’ title among the member states.
SCO Summit, 2023

• India hosted the summit for the first time. It was held virtually.
• Leaders of SCO called for a more representative and multipolar world order.
• Iran was included as SCO’s ninth member.
• SCO members agreed to explore using “national currencies” for payments within the grouping. The
use of national currencies would circumvent international dollar-based payments.
New Delhi Declaration of the Council of Heads of State

• New Delhi Declaration was signed at SCO 2023 Summit.
• It states that the world must come together to "counter the activities of terrorist, separatist and ex-
tremist groups, paying special attention to spread of religious intolerance, aggressive nationalism,
ethnic and racial discrimination, xenophobia, ideas of fascism and chauvinism."
• The Member States sought to develop common principles and approaches to form a unified list of ter-
rorist, separatist and extremist organisations.
• They opposed the militarisation of information and communication technologies.
India at SCO 2023

• India stays out of joint statements on:
1. SCO Economic Development Strategy 2030
2. China’s Belt and Road Initiative (BRI)
• India opposes the BRI over its inclusion of projects in Pakistan-occupied Kashmir.
• India criticised China for connectivity projects that do not respect sovereign boundaries.
{GS2 – IR – India-Caucasus – 2023/07} Nagorno-Karabakh Region (Artsakh)
• Context (TH | WION): Azerbaijan has temporarily shut the only road which links its breakaway Na-
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gorno-Karabakh region with Armenia, accusing the Armenian branch of the Red Cross of smuggling.
• Nagorno-Karabakh is a disputed territory between Armenia and Azerbaijan in the South Caucasus
mountainous region.
• Historically, the majority population of this region has been ethnically Armenian (Christian-majority).
• In 1991, following the collapse of the Soviet Union, Nagorno-Karabakh declared independence from
Azerbaijan (Muslim-majority).
• No country, not even Armenia, has so far recognised the independence of Nagorno-Karabakh.
• Turkey and Pakistan openly support Azerbaijan. Russia has military bases in Armenia.
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India’s Stand
• India has adopted a balanced and neutral stance and had called for respecting each others territorial
integrity and inviolability of existing borders.
• Azerbaijan has shown scant regard for India’s territorial integrity violated by Pakistan in J&K.
• However, India can not support Armenia or endorse Nagorno-Karabakh’s right to self-determination,
given the possible repercussions, such as India’s adversaries re-igniting secessionist movements in
certain parts of India (J&K and North East).
India and Caucasus

• India has no specific policy for the Caucasus region, unlike 'Neighbourhood First', 'Act East' or 'Cen-
tral Asia Connect' policies.
• Armenia is the only country in the region with which India has a Friendship and Cooperation Treaty
(1995), which would prohibit India from providing military or any other assistance to Azerbaijan.
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{GS2 – IR – India-China – 2023/07} Disputes: Pangong Lake
• Context (TH): There is a significant focus on infrastructure development, including road networks and
advanced landing grounds in the region surrounding Pangong Lake, by both India and China.
Recent Developments in the Galwan Clash Area
Indian Infrastructure Initiatives

• India is constructing a black-topped road towards Finger 4 on the north bank, expected to be com-
pleted by 2025.
Budgetary Allocation and Progress

• The Border Roads Organization (BRO) budgetary allocation has increased significantly.
• The BRO's capital budget for 2023-24 was ₹5,000 crore, a 43% increase from the previous year.
• The India-China Border Roads (ICBR) plan has made significant progress in constructing over 1,400 km
of strategic roads along the Line of Actual Control (LAC).
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Chinese Infrastructure Initiatives

• Construction work is underway on the main bridge on the Chinese side, while the second bridge has al-
ready been completed.
• Large-scale construction activity has been observed on the north bank, including road connectivity to-
wards Shandong village.
• A Chinese air defence site is located east of the Khurnak Fort.
Ongoing Disputes and Talks

• Despite the infrastructure developments, the Corps Commander-level talks between India and China
remain deadlocked.
• Friction points at Depsang and Demchok continue to be contentious, with the Chinese side blocking
Indian patrols.
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Pangong Tso
• In the Ladakhi language, Pangong means extensive concavity, and Tso is lake in Tibetan.
• Pangong Tso is a long narrow, deep, endorheic (landlocked) saline (brackish) lake situated at a
height of more than 14,000 ft (4,270 m) in the Ladakh Himalayas.
• The 135 km-long lake is shaped like a boomerang and is 6 km wide at its broadest point.
• The Karakoram Mountain range (Tajikistan, Afghanistan, Pakistan, China & India) ends at the north
bank of Pangong Tso.
• 1/3rd of the lake is under Indian control while the rest is under Chinese control.
Tactical significance of the Lake

• By itself, the lake does not have major tactical significance. But it lies in the path of the Chushul ap-
proach, one of the main approaches that China can use for an offensive into Indian-held territory.
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• The Chushul Valley has a vital airstrip that played an important role during the 1962 War with China.
• Chushul is the gateway to Leh. If China enters Chushul, it can launch its operations against Leh.
• Chushul is one of the five Border Personnel Meeting points between the Indian and Chinese armies.
{GS2 – IR – India-Pak – 2023/07} Disputes: Siachen Glacier
• Context (TH): June-August 2023 marks the sapphire jubilee (65th anniversary) of the first Geological
Survey of India (GSI) Survey of Siachen glacier, which was led by V. K. Raina, a top Indian geologist.
• Siachen Glacier is a piedmont glacier between the Saltoro Ridge, a subrange of the Karakorams,
and the main Karakoram Range.
• It is located in the disputed territory of Kashmir, and it lies in the “Third Pole. ”
• It is the second longest non-polar glacier in the world, after Fedchenko Glacier in Tajikistan.
 Piedmont glacier: It is a type of glacier that forms when one or more valley glaciers spill out and spread
into a broad, flat area at the base of a mountain range.
 Third Pole: It is a term used to refer to the vast region of high mountain ranges in Asia that hold the larg-
est ice mass outside the polar regions.
 It includes the Himalayas, the Karakoram Range, the Hindu Kush, and the Tibetan Plateau.
• Siachen glacier originates at the base of the Indira Col West, a col (low point) on the Indira Ridge, at
an altitude of 6,115 m.
• It is the highest battleground in the world and the temperature here drops up to -50°C.
• Nubra River originates from the Siachen Glacier. Nubra River is a tributary of the Shyok River, which in
turn is a tributary of the Indus River.
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Siachen Conflict
• The Siachen Glacier is located in the Eastern Karakoram range in the Himalayas, just northeast of
Point NJ9842 where the Line of Control (LOC) between India and Pakistan ends.
• Both India and Pakistan claim sovereignty over the glacier.
• The 1949 Karachi Agreement and 1972 Simla Agreement did not clearly mention who controlled the
glacier, and so LOC terminated merely at NJ9842.
 1949 Karachi Agreement: It was a bilateral agreement signed between India and Pakistan following the
first Indo-Pakistan War (also known as the First Kashmir War) of 1947-1948.
 1972 Simla Agreement: It was a bilateral agreement signed between India and Pakistan following the
aftermath of the Indo-Pakistan War of 1971.
• In 1984, Pakistan's Operation Ababeel aimed to capture the Siachen Glacier.
• In response, Indian Army launched Operation Meghdoot (1984) and successfully took control of the
Siachen Glacier, allowing India to gain a strategic advantage over the neighbouring Pakistani positions.
• Since then, the Siachen Glacier has been a contentious and heavily militarized zone, with both India and
Pakistan maintaining a significant military presence in the region.
• The harsh climate and challenging terrain make Siachen one of the most inhospitable conflict zones.
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Geological Survey of India (GSI)
• GSI is the principal geological research and mapping organization in India.
• It was established in 1851 and is one of the oldest geological survey organizations in the world.
• It operates under the Ministry of Mines and it is headquartered in Kolkata.
• Main objectives of GSI include:
✓ Geological Mapping
✓ Mineral Exploration
✓ Groundwater Studies
✓ Environmental Geology
✓ Geological Research
✓ Geological Information Dissemination
{GS2 – IR – India-Pak – 2023/07} Indus Water Treaty (IWT), 1960
• Context (TH): India should revisit the Indus Waters Treaty (IWT) instead of frequently moving to the
Permanent Court of Arbitration (PCA) to settle disputes and objections, says an expert.
• The Indus Waters Treaty (IWT), 1960, regulates the Indus water courses between India and Pakistan.
• The Indus River System comprises the Indus and its tributaries, Ravi, Beas, Sutlej, Jhelum, & Chenab.
• IWT provides India absolute control of all the waters of the eastern rivers Ravi, Sutlej, & Beas.
• Pakistan will receive unrestricted use of all waters of the western rivers Indus, Jhelum and Chenab.
• India is permitted to use the waters of the western rivers for domestic use, non-consumptive use, ag-
riculture, and hydroelectric power generation.
The Success of IWT

• The IWT, having survived several wars and phases of bitter relations, is considered an example of coop-
eration between two unfriendly neighbours.
• The detailed procedures and dispute resolution mechanism and restraint from India are to be cred-
ited for the survival of the IWT.
Recent Issues
• In the last decade, exercising judicial recourse to settle competing claims and objections has increased.
• Pakistan had objected to India's plan to construct
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❖ 330 MW Kishenganga hydroelectric project on the Jhelum River and

❖ 850 MW Ratle Hydroelectric Project on the Chenab River.

• But under the IWT, India is permitted to construct the run-of-river hydroelectric projects on the
tributaries of the Indus, Jhelum, and Chenab before these rivers flow into Pakistan.
Latest Development
• In January 2023, Pakistan approached the Permanent Court of Arbitration (PCA) over the two hy-
dropower projects in Jammu and Kashmir.
• India boycotted the court process as it goes against the pre-existing dispute resolution channel.
• India claimed that the PCA is not competent to consider these questions.
• India insisted such questions should be decided through the neutral expert process.
• In July 2023, the court unanimously passed a decision rejecting each of India’s objections.
• The decision of PCA is binding on both parties without appeal.
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Dispute Resolution Process Under IWT

• According to the IWT, there are three possible steps to decide on objections raised by either side:
1. Working within the Permanent Indus Commission (PIC) of the Indian and Pakistani delegation of
water experts that meet regularly.
2. Consulting a World Bank-appointed neutral expert.
3. Setting up a court process to adjudicate the case through the World Bank and the Permanent
Court of Arbitration (PCA).
• However, while India has held that each step must be fully exhausted before both sides agree to move
on to the next step, Pakistan had moved to PCA without waiting for India's concurrence.
Permanent Court of Arbitration (PCA)

• PCA, established in 1899, is an intergovernmental organisation providing various dispute-resolution
services to the international community.
• It is not a court in the traditional sense. It provides an arbitral tribunal's services to resolve dis-
putes arising from agreements between member states, international organisations, or private parties.
• It has no sitting judges. The parties themselves select the arbitrators.
• It has its headquarters in Hague, Netherlands.
• It has 122 Contracting Parties, including India.
• PCA is an observer of the UN.
{GS2 – IR – India-SE Asia – 2023/07} India-Myanmar-Thailand Trilateral Highway
• Context (TH): 70% of the India-Myanmar-Thailand Trilateral Highway (IMT Highway) is complete.
• The IMT Highway is a 1,360 km long route under construction, connecting Moreh, India, with Mae
Sot, Thailand, via Myanmar.
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Moreh, Manipur
• Moreh is an international border town located on the India-Myanmar border in Manipur.
• It is connected to Tamu in Myanmar.
• Moreh is an international trade point with integrated customs and immigration checkpoint.
• It plays an important role in India's Look East Policy and trade and commerce with SE Asia.
• The IMT highway is part of India's Look East policy and aims to boost trade and commerce in the
ASEAN–India Free Trade Area and Southeast Asia.
• India has proposed extending the highway to Cambodia, Laos, and Vietnam, forming the ~3,200 km
East-West Economic Corridor.
• The E-W Economic Corridor between Thailand, Cambodia, and Vietnam became operational in 2015.
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{GS2 – IR – India-Taiwan – 2023/07} TECC
• Context (TH): Taiwan established its third Taipei Economic and Cultural Centre (TECC) in Mumbai
after New Delhi and Chennai.
• India and Taiwan do not maintain formal diplomatic ties.
• TECC is Taiwan’s de facto diplomatic mission in India.
• In 1995, the two sides opened a TECC in New Delhi and an “India Taipei Association” in Taipei.
{GS2 – IR – India-UAE – 2023/07} MoUs
• Context (TH): Three pacts were signed during PM Modi’s visit to the UAE. These are related to:
1. Use of local currencies (INR-AED) for cross-border transactions.
2. Interlinking of payment and messaging systems.
3. Establishing an IIT-Delhi campus in Abu Dhabi.
• The first two were memorandums of understanding (MoUs) signed between the RBI and its counterpart,
the Central Bank of the UAE.
Use of local currencies (INR-AED) for cross-border transactions

• India and the UAE have signed a pact to establish a framework to promote using the rupee and UAE
Dirham (AED) for cross-border transactions.
• It aims to implement a Local Currency Settlement System (LCSS), enabling exporters and importers to
invoice and pay in their respective domestic currencies.
• It will cover all current and permitted capital account transactions.
Impact of the move

✓ It would help promote investments and remittances between the two countries.
✓ It would help optimise transaction costs and settlement time for transactions.
✓ India will likely use this mechanism to pay for crude oil and other imports from the UAE. Hence, it will
reduce dependence on the dollar.
✓ It is part of a policy effort by India to internationalise the rupee.
India-UAE Bilateral Trade (FY23)

• Bilateral trade between India and the UAE was around $85 billion.
The UAE became India’s third-largest trading partner and second-largest export destination.
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•
• India was the UAE’s second-largest trading partner.
• The UAE became the fourth largest investor in India.
Free Trade Agreement (FTA)

• In February 2022, India became the first country with which the UAE signed a Comprehensive Eco-
nomic Partnership Agreement (CEPA).
• Bilateral trade has increased by approximately 15% since the pact's entry into force on May 1, 2022.
Interlinking of payment and messaging systems

• Under the MoU on Payments and Messaging Systems, the two central banks agreed to cooperate on
the following:
1. Linking their Fast Payment Systems – UPI of India with Instant Payment Platform (IPP) of UAE.
✓ The UPI-IPP linkage would enable users in either country to make fast and cost-effective cross-
border fund transfers.
2. Linking the respective Card Switches (RuPay switch and UAESWITCH).
✓ It will facilitate the mutual acceptance of domestic cards and the processing of transactions.
3. Exploring the linking of payments messaging systems, i.e., the Structured Financial Messaging Sys-
tem (SFMS) of India, with the messaging system in the UAE.
Recent developments in India-UAE relations

• The UAE has become a dialogue partner of the SCO.
• UAE has applied to join the BRICS group of emerging economies.
• UAE has joined the BRICS-founded New Development Bank (NDB).
• The UAE was a special invitee to the 2023 G-20 summit.
{GS2 – IR – International Institutions – 2023/07} IMF
• Context (TH): Pakistan gets a lifeline from IMF with a new $3 billion bailout to help avoid default.
• International Monitory Fund (IMF) was formed in 1944 at the Bretton Woods Conference along with
the World Bank. Hence, they are known as Bretton woods twins.
• India is a founder member of the IMF and World Bank.
• It has its headquarters in Washington, D.C.
• It helps the countries facing the Balance of Payment (BOP) crisis.
• IMF’s primary purpose is to ensure the stability of the international monetary system – the system of:
1. Exchange rate
2. International payments that enable countries to transact with each other.
• IMF works to:
❖ Foster global monetary cooperation
❖ Secure financial stability
85
❖ Facilitate international trade

❖ Promote high employment

❖ Sustainable economic growth
❖ Reduce poverty around the world.
Voting Power in IMF

• Voting power is based on the quota system. Each member has a number of basic no. of votes and
one additional vote for each Special Drawing Rights (SDR) of 1,00,000 of member country’s quota.
• India is ranked 8th in IMF with a quota of 2.76% and 2.64% of total votes.
Important reports of IMF

1. Global Financial Stability Report
2. World Economic Outlook (WEO) Report
3. Regional Economic Outlook Report
Special Drawing Rights (SDR)

• SDRs are supplementary foreign exchange reserve assets defined and maintained by the Interna-
tional Monetary Fund (IMF).
• SDRs were created in 1969 to supplement a shortfall of foreign exchange reserve assets (gold & dollars).
• SDRs are units of account for the IMF and not a currency. They denote a right to currency possessed
by member countries of the IMF, allowing them to conduct exchanges.
• IMF allocates SDRs to countries and they cannot be held or used by private parties.
SDR Value
• The value of an SDR is based on a basket of five key international currencies reviewed by the IMF
every five years:
1. U.S. Dollar – 43.38%
2. Euro – 29.31%
3. Renminbi (Chinese Yuan) – 12.28%
4. Japanese Yen – 7.59%
5. British Pound Sterling – 7.44%
• The value of the SDR is determined daily based on market exchange rates.
• The SDR basket is reviewed every five years, or earlier if warranted.
SDR Allocation
• The allocation is distributed to member countries in proportion to their quota shares at the Fund.
• An allocation requires Board of Governors approval by an 85 percent majority of the total voting power
of the members in the SDR Department.
• So far the Fund has been allocated for 5 times, including four general allocations and a one-time spe-
86
cial allocation.
• The largest-ever allocation of about SDR 456 billion was approved on August 2, 2021, to address the
long-term global need for reserves, and help countries cope with the impact of the COVID-19 pandemic.
SDR Interest rate

• It is the interest paid to members on their SDR holdings and charged on their SDR allocations.
• The interest rate on SDR is determined weekly.
IMF Lending Instruments
• IMF has several lending instruments to meet specific circumstances of its members.
General Resources Account

• IMF members have access to the General Resources Account on non-concessional terms (market-
based interest rates).
Facilities
❖ EFF – Extended Fund Facility
❖ SBA – Stand By Arrangement
❖ RFI – Rapid Finance Instrument
❖ FCL – Flexible Credit Line
Extended Fund Facility (EFF)

• The Extended Fund Facility is lending facility of the IMF to help countries address medium and longer
term balance of payments problems.
• It provides assistance to countries experiencing serious payment imbalances because of structural
weakness or slow growth and an inherently weak balance of payments position.
The Stand-by Arrangement (SBA)

• It provides short-term financial assistance to countries facing balance of payments problems.
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Poverty Reduction and Growth Trust (PRGT)

• IMF provides concessional financial support (currently at zero interest rates) through the Poverty Re-
duction and Growth Trust, for low-income countries.
Facilities
❖ SCF – Standby credit facility
❖ ECF – Extended credit facility
❖ RCF – Rapid credit facility
Resilience and Sustainability Trust

• Resilience and Sustainability Trust offers longer-term financing to low-income and vulnerable middle-
income countries seeking to build resilience to external shocks at affordable interest rates.
Facilities
❖ RSF – Resilience and Sustainability Facility
{GS2 – IR – International Organizations – 2023/07} UNHRC
• Context (TH): United Nations Human Rights Council (UNHRC) adopted the draft resolution by Paki-
stan that condemns acts of desecration of the Holy Koran. India voted in favour of the resolution.
• UNHRC is an intergovernmental body within the United Nations system.
• It is responsible for the promotion and protection of all human rights around the globe.
• It has its headquarters in Geneva, Switzerland.
Membership
• UNHRC has 47 members elected for three-year terms on a regional group basis.
• Member States are elected by the majority of members of the UN General Assembly through a di-
rect and secret ballot.
• Members not eligible for immediate re-election after serving two consecutive terms.
• The Council's Membership is based on equitable geographical distribution.
• Seats are distributed as follows:
1. African States: 13 seats
2. Asia-Pacific States: 13 seats
3. Latin American and Caribbean States: 8 seats
4. Western European and other States: 7 seats
5. Eastern European States: 6 seats
{GS2 – IR – International Organizations – 2023/07} UNHRC Refugee Convention
• Context (Reuters): UK's Illegal Migration Bill has become an act.

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• It will deter illegal migration to the country – primarily via small boats crossing the English Channel.
It will prevent most people from claiming asylum in Britain without permission.
•
• It will deport asylum seekers to their country of origin or a so-called safe country like Rwanda.
• So far, the UK has paid (bribed) the Rwandan government £140m for the scheme.
• Previously, a plan to remove refugees to Rwanda was declared illegal by the U.K. Court of Appeal.
• The UN has criticised the bill for the violation of refugee rights.
1951 Refugee Convention of UNHRC and its 1967 Protocol
• It is related to the Principle of Non-Refoulement, which asserts that refugees should not be forced to
return to a country where they face serious threats to their life or freedom.
• The 1951 convention was initially limited to Europe, but the 1967 protocol removed this limitation.
• India is not a signatory of the 1951 UN Convention or the 1967 Protocol.
• UNHCR stated that Non-Refoulement is considered part of customary international law and binding
on all states whether they have signed the Refugee Convention or not.
Customary International Law

• It refers to international obligations arising from established international practices, as opposed to obli-
gations arising from formal written conventions and treaties.
{GS2 – IR – International Organizations – 2023/07} World Trade Organization
• Context (TH I IMF): The two-tiered dispute settlement system of the WTO is in a state of paralysis.
• WTO is an intergovernmental organisation that regulates and facilitates international trade be-
tween nations, operating in a member-driven and consensus-based manner.
• With its headquarters in Geneva, Switzerland, it is the world's largest international economic organisa-
tion. It boasts 164 member states, representing over 98% of global trade and GDP.
• Formally established on January 1, 1995, under the 1994 Marrakesh Agreement, the WTO replaced
the General Agreement on Tariffs and Trade (GATT) of 1948 after the culmination of the Uruguay
Round, an eight-year-long negotiation process.
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The mandate of the WTO

• The WTO's mandate encompasses the facilitation of trade in goods, services, & intellectual property.
• It achieves this by providing a framework for negotiating trade agreements that aim to reduce or
eliminate tariffs, quotas, and other trade restrictions.
• Additionally, the WTO oversees independent dispute resolution mechanisms to ensure compliance
with trade agreements and resolve trade-related disputes.
• While the WTO prohibits discriminatory practices among trading partners, it allows for exceptions in
cases related to environmental protection, national security, and other significant objectives.
The Organisational Structure of the WTO
• The Dispute Settlement Body (DSB) is a platform for addressing disputes between WTO members.
• The DSB possesses the authority to establish dispute settlement panels and make decisions based on
their recommendations.
• DSB may also consider reports from the Appellate Body, which hears appeals from panel reports.
• Currently, the appellate body, which constitutes the second tier of the WTO's Dispute Settlement
System (DSS), remains non-functional.
Reasons for the appellate body's non-functionality

• From 1995 to 2019, the appellate body upheld the international rule of law by holding powerful coun-
tries, such as the US and the EU, accountable for breaching international laws.
• However, its once-supportive entity, the US, has now become its most prominent critic, obstructing
the appointment of its members.
The US argument
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• The US argues that the appellate body must consistently interpret and apply WTO agreements without
establishing binding precedents.
• According to the US, creating binding precedents through appellate body decisions represents judicial
overreach and exceeds its institutional mandate.
The way forward

• Other countries can elect appellate body members through voting at the WTO's General Council
meeting, ensuring a path toward a functional dispute resolution mechanism.
The US's larger game plan: De-judicialization of trade multilateralism

• In a neoliberal economic system, the 'invisible hand' of market competition should be comple-
mented by the 'visible hand' of the law.
• WTO, rather than national actors, has become the 'visible hand' of the law in regulating global trade.
• This has led to a loss of control for nations over critical decision-making, eroding their sovereignty.
• De-judicialization is the reverse phenomenon, where countries seek to weaken international
courts/regulators to regain decision-making power.
• Amid the emerging geo-economic challenges posed by a rising China, the US aims to exercise com-
plete control over its trade policies by De-judicialization of WTO.
{GS2 – IR – Regional Institutions – 2023/07} AIIB
• Context (TH I ET): Asian Infrastructure Investment Bank (AIIB) says there is no evidence of China’s
influence on its working.
• AIIB is an international development bank that finances infrastructure projects in Asia.
• Its headquarters is in Beijing, China.
• AIIB has 106 members from Asia, Europe, Africa, and other parts of the world.
• Sixteen of the G20 members are either AIIB members or prospective ones only the United States,
Japan, Mexico, and the European Union are not.
• China is the largest shareholder, with 26.61% of voting shares in the bank. India is the second largest
shareholder, with 7.6% of voting shares.
{GS2 – IR – Regional Institutions – 2023/07} Asian Development Bank
• Context (PIB): GoI and the Asian Development Bank (ADB) signed a $200 million loan for expand-
ing urban services in Rajasthan.
• Asian Development Bank (ADB) is a financial institution established in 1966.
• It has its headquarters in Manila, Philippines.
• It was conceived in the early 1960s as a financial institution that would be Asian in character and foster
economic growth and cooperation in the Asia-Pacific region.
91
• It aims to make Asia and the Pacific prosperous, inclusive, resilient, & sustainable while tackling poverty.
• ADB promotes private sector development, gender empowerment, regional integration, etc.
Functions
• ADB assists its members and partners by providing loans, technical assistance and grants.
• It focuses on projects that help promote private investments in the region that will have a significant
development impact and lead to accelerated, sustainable, and inclusive growth.
• Eighty per cent of ADB's lending is concentrated public sector lending in five operational areas:
1. Education
2. Environment
3. Regional Cooperation
4. Finance sector development
5. Private sector lending
Membership
• ADB has 68 members (originally 31).
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• 49 members are from Asia and the Pacific.

• 19 members are from outside the Asia Pacific region.
Contribution of member states and Voting

• The ADB was modelled closely on the World Bank/IMF and has a similar weighted voting system where
votes are distributed proportionately with members' capital subscriptions.
• Contributions:
1. Japan and USA (15.7 % each)
2. China (6.4 %)
3. India (6.3 %)
• India is a founding member of ADB and the bank’s fourth-largest shareholder.
• ADB aligns its operations in the country to the government’s developing priorities.
Strategy 2030
• Strategy 2030 sets out what ADB should do to respond to the changing needs of the Asia-Pacific.
• Under Strategy 2030, ADB will sustain its efforts to eradicate extreme poverty and expand its vision
to achieve a prosperous, inclusive, resilient, and sustainable Asia and the Pacific.
• To achieve Strategy 2030’s vision, ADB will focus on seven operational priority areas.
Issues
➢ Since the early days of ADB, it has been plagued by criticism that the two significant donors, US and
Japan, have had extensive influence over lending, policy and staffing decisions.
➢ The Chairmanship of ADB is always allotted to Japan.
{GS2 – IR – Russia-Ukraine – 2023/07} Locations/Places/Features In-News

93
Ukraine
• Ukraine shares borders with:
✓ Belarus to the north

✓ Russia to the east
✓ Sea of Azov and the Black Sea to the south
✓ Moldova and Romania to the southwest
✓ Hungary, Slovakia and Poland to the west
• The capital is Kyiv (Kiev), located on the Dnieper River.
• The most notable rivers of Ukraine include the Dnieper and Dniester.
• Most of the rivers of Ukraine drain into the Black Sea and Azov Sea of the Mediterranean basin.
• Important Cities: Kyiv, Kharkiv, Odesa, Donbas Region, Mykolaiv, Mariupol, Simferopol, etc.
94
Dnieper River
• The Dnieper (Dnipro River) is the fourth longest river in Europe after the Volga, Danube, and Ural.
• It flows through Russia, Belarus, and Ukraine.
• It is the longest river in Ukraine.
• It originates from the Valdai Hills (Russia) and empties into the Black Sea at the Dnieper-Bug Estuary.
• Along the Dnieper River, several reservoirs and hydroelectric power stations have been constructed. The
most notable of these is the Kyiv Reservoir.
95
Jone 2023 Kakhovka Dam Breach
• Context (CNN | IE | TG): Kakhovka Dam on the Dnieper River that separates Russian and Ukrainian
forces in southern Ukraine was breached, unleashing floodwaters across the war zone.
• Ukraine accused that it is an act of “ecocide” committed by Russia.
 Ecocide is destroying the natural environment by deliberate or negligent human action.
• Kakhovka Dam is a Soviet-era dam built on the Dnieper River in Kherson (currently under Russian
control), Ukraine.
• It supplies water to the Crimean peninsula (which was annexed by Russia in 2014) and to the Za-
porizhzhia nuclear plant (which is also under Russian control).
Zaporizhzhia Nuclear Power Plant

• Zaporizhzhia Nuclear Power Plant is Europe’s largest nuclear plant.
• It is located on the Dnieper River in Zaporizhzhia, Ukraine.
• It gets its cooling water from the Kakhovka Dam.
Chernobyl Nuclear Plant

• It is a closed nuclear power plant located near the abandoned city of Pripyat in northern Ukraine.
96
• The plant experienced a major nuclear accident on 26 April 1986 (Ukraine was a part of USSR).
• The explosion and fire at the Chornobyl No. 4 reactor contaminated the soil, water and atmosphere
with radioactive material equivalent to 20 times the atomic bombings of Hiroshima and Nagasaki.
Red Forests in Ukraine

• The Red Forest is the 10 sq km area surrounding the Chornobyl Nuclear Power Plant.
• The name "Red Forest" comes from the ginger-brown colour of the pine trees after they died follow-
ing the absorption of high levels of radiation from the Chornobyl accident.
Sea of Azov
• It is a sea in Eastern Europe connected to the Black Sea by the narrow Strait of Kerch.
• It is sometimes regarded as a northern extension of the Black Sea.
• The sea is bounded by:
✓ Russia on the southeast
✓ Ukraine in the northwest
• The main rivers flowing into it are the Don and Kuban.
• The Sea of Azov is an internal sea with passage to the Atlantic Ocean through the Black, Marmara, Ae-
gean and Mediterranean seas.
• The narrowness of the Kerch Strait limits the water exchange with the Black Sea. As a result, the salinity
of the Sea of Azov is low.
• Ports along the Sea of Azov are Berdyansk, Mariupol, Taganrog and Yeysk.
Black Sea
• Black Sea is a marginal Mediterranean Sea lying between Europe and Asia. It lies:
✓ East of the Balkan Peninsula (Southeast Europe)
✓ South of the East European Plain in Eastern Europe
✓ West of the Caucasus
✓ North of Anatolia in Western Asia.
• It is supplied by significant rivers, principally the Danube and Dnieper.
• There is a significant absence of oxygen in the Black Sea water.
• Mountain Ranges: Pontic Mountains (South), Caucasus Mountains (East) and Crimean Mts (North).
• Important coastal cities include Istanbul, Odesa, Varna, Samsun, Sochi, Sevastopol, Constanța,
Trabzon, Novorossiysk, Burgas, Batumi, etc.
• Countries bordering the Black Sea:
1) Bulgaria
2) Georgia
3) Romania
4) Russia
97
5) Turkey
6) Ukraine
• It ultimately drains into the Mediterranean Sea via the Turkish Straits and the Aegean Sea.
• To the north, the Black Sea is connected to the Sea of Azov by the Kerch Strait.
Kerch Bridge
• Context (TH I HT): The 19km long Kerch Strait Bridge links the Russian mainland to the Crimean
Peninsula in the Black Sea. The bridge symbolises Russia's control over Crimea.
• Built by Russia after the annexation of Crimea at the start of 2014, the bridge cost US$3.7 billion.
98
Turkish Straits
• They create a series of passages that connect the Aegean and Mediterranean seas to the Black Sea.
• The Bosporus Strait connects the Black Sea to the small Sea of Marmara, which is connected to the
Aegean Sea via the Strait of the Dardanelles.
Montreaux Convention
• According to the 1936 Montreux Convention, Turkey (a NATO member) controls the Bosporus and
99
Dardanelles Straits (Turkish Straits) — a significant concern for Russia.

• In the event of a war, the pact gives Ankara the right to regulate the transit of naval warships and to
block the straits to warships belonging to the countries involved in the conflict.
Sea of Marmara
• The Sea of Marmara is an inland sea separating the Asiatic and European parts of Turkey.
• Bosphorus, the Dardanelles Straits and the Sea of Marmara form a part of the Turkish Straits System.
• North Anatolian Fault, which runs beneath the sea, has caused massive earthquakes in the region.
Caspian Sea
• The Caspian Sea is the world's largest inland body of water.
• The Caspian Sea, like the Black Sea, is a remnant of the ancient Paratethys Sea.
• The Caspian Sea is highly prized for its vast oil and gas reserves
• It is bounded by Kazakhstan, Russia, Azerbaijan, Iran and Turkmenistan.
• Its main freshwater inflow comes from Europe's longest river, the Volga and the Ural River.
100
Baltic States (Baltics, Baltic nations)

• Baltics is a geopolitical term typically used to group the three countries on the eastern coast of the
Baltic Sea: Estonia, Latvia and Lithuania.
• The three countries do not form an official union but cooperate in matters of security and defence.
• All three countries are members of NATO (to counter the bullying by Russia), the eurozone, the
OECD, and the European Union.

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• The magnetosphere is the region above the ionosphere that is defined by the extent of the Earth's

Aurorae and High Solar Activity

Coronal Mass Ejections (CMEs)

Effects of Geomagnetic Storms

{GS1 – MIH – Personalities – 2023/07} Alluri Sitarama Raju

Rampa Rebellion (1922 to 1924)

tional shifting cultivation practice known as Podu cultivation.

{GS1 – MIH – Personalities – 2023/07} Bal Gangadhar Tilak (Lokmanya Tilak)

• Tilak was born on 23rd July 1856 in Ratnagiri, Maharashtra.

• Swadeshi Wastu Pracharini Sabha was started by Tilak in 1905.

• It aimed to start certified Swadeshi shops.

Contribution Towards Education

Freedom of the Press

Home Rule League

{GS2 – Empowerment – 2023/07} Prevention of Sexual Harassment (PoSH) Act

under PoSH Act at workplaces from victimisation or retaliation by accused persons.

Internal Complaints Committee (ICC)

Local Area Committee (LAC)

{GS2 – Governance – Regulations – 2023/07} Dark Patterns

Advertising Standards Council of India (ASCI)

How do we address dark patterns?

{GS2 – Health – Issues – 2023/07} Antimicrobial Resistance (AMR)

What is Antimicrobial Resistance (AMR)?

TB drugs, isoniazid (INH) and rifampicin (RMP).

Causative Factors behind AMR

{GS2 – Health – Issues – 2023/07} Artificial Sweeteners

Adverse Effects of Artificial Sweeteners

{GS2 – IR – Groupings – 2023/07} BIMSTEC

{GS2 – IR – Groupings – 2023/07} CPTPP

Free Trade Agreement (FTA)

Trans-Pacific Partnership (TPP)

Regional Comprehensive Economic Partnership (RCEP)

Cheaper imports and Widening Trade Deficit

Farm sector is not excluded

Why the Dairy sector vehemently opposes FTAs like RCEP?

FTAs are essential for Global Value Chain (GVC)

ing across several national boundaries.

Example of Global Value Chain

Why integrating into the Global Value Chans is essential?

What is India’s participation in GVCs?

{GS2 – IR – Groupings – 2023/07} Group of Twenty (G20)

• Context (TH): The 2023 G20 summit was held in Srinagar.

How G20 Works

2023 G20 Summit

{GS2 – IR – Groupings – 2023/07} NATO Summit 2023

North Atlantic Treaty Organization (NATO)

ters is near Mons, Belgium.

Post-Cold War Era

Collective Security Treaty Organization (CSTO)

NATO Summit 2023

The inclusion of Finland and approval of Sweden as NATO members

USA's stance on NATO

Advantages for India if it joins the NATO Plus

Collective Security Treaty Organization (CSTO)

{GS2 – IR – Groupings – 2023/07} Paris Club

{GS2 – IR – Groupings – 2023/07} Shanghai Cooperation Organisation

Shanghai Cooperation Organisation (SCO)

• SCO is an Eurasian intergovernmental organisation and economic and security alliance.