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13 January 2023

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DAILY CURRENT AFFAIRS ANALYSIS

. No. Topic Name Prelims/Mains
1.     Generalized System of Preferences Prelims & Mains
2.     Public Debt Prelims & Mains
3.     National Human Rights Commission Prelims & Mains
4.     Line of Actual Control Prelims & Mains

 1 – Generalized System of Preferences: GS II – Topic International Relations

Context:

  • In terms of their trade and business partnerships, the Modi and Biden administrations are “thinking big,” according to Union Minister for Commerce and Industry Piyush Goyal on Wednesday. He claimed that New Delhi does not prioritise the restoration of GSP and disregarded the previously negotiated micro trade agreement or free trade agreement.
  • India was stripped of the Generalized System of Preferences (GSP) that had been awarded to it by the previous Trump government. The GSP permits developing countries that meet certain criteria to export goods to the US duty-free.

 About:

  • The GSP, the most significant and long-standing US trade preference programme, aims to promote economic growth by enabling duty-free access to a wide number of products from designated beneficiary countries.
  • It is a catch-all phrase that refers to the vast bulk of preferential programmes developed countries receive from wealthy nations.
  • Examples of this include decreased Most Favored Nation (MFN) Tariffs or duty-free access for specific products exported by beneficiary countries to donor country markets.
  • Background:
  • Offering developing nations preferential tariff rates on the markets of industrialised countries was initially proposed at the first United Nations Summit on Trade and Development (UNCTAD) conference in 1964.
  • The GSP was created in 1971 after receiving UNCTAD approval in 1968 in New Delhi.
  • There are now 13 nation GSP systems that have been reported to the UNCTAD secretariat.

 The value of GSP for the US:

  • India imports intermediate goods at lower prices, allowing US downstream industries to access cost-effective and competitively priced inputs.
  • Additionally, it helps US companies compete both domestically and internationally.

What is UNCTAD?

  • The United Nations Conference on Trade and Development (UNCTAD) was established as a continuing intergovernmental organisation by the United Nations General Assembly in 1964.
  • It enables developing countries to reap the benefits of a globalised economy in a more efficient and equitable manner.
  • It consists of 195 nations.

Source The  Hindu

2 – Public Debt: GS II – Topic Budget-related issues

Context:

  • The Union Budget may show a lower-than-anticipated fiscal deficit of 5.8% of GDP, but rating agency ICRA predicts that the Centre and State governments would budget for higher market borrowings in the ensuing fiscal year.
  • Due to higher redemptions, it is anticipated that the gross market borrowings of the Centre and States will rise to 14.8 lakh crore and 24.4 lakh crore, respectively, in FY24 from 14.1 lakh crore and 22.1 lakh crore, respectively, in FY23.

About public debt:

  • Public debt is the total amount borrowed by a country’s government. Any liabilities owing by the Union government that must be paid from the Consolidated Fund of India are referred to as public debt in India. The entire amount of debt owed by the federal and state governments is also referred to by this phrase. The Union government, however, is careful to distinguish its debt responsibilities from those of the states. The overall commitments of the Union government and the states are referred to as General Government Debt (GGD) or Consolidated General Government Debt.
  • The Union government predominantly on market borrowing to finance its operational and development expenses, making the study of public debt crucial to understanding the financial health of the government. Examining several elements, such as the debt-to-GDP ratio, sustainability, and causes of the debt, is required to comprehend public debt. The fact that interest payments make up about one-fourth of all expenditures helps to explain the extent of the Union government’s debt.

The objectives of public debt and borrowing are:

  • Income and Revenue: The objective of public debt is normally to narrow the difference between anticipated income and budgeted expenditures in any given year. The government makes up the shortfall by taking on Indian and foreign debts when tax revenue declines owing to increasing administrative costs, severe weather events like floods and earthquakes, infectious diseases, and other unforeseen difficulties. This is the government’s income, which is separate from all other taxes and financing sources.
  • Depression is a condition that develops when costs go up, people are hesitant to engage in businesses, and there are no expectations for future financial success. When there is an increase in demand for products and services, which is possible when the country increases investment in public construction projects or, more crucially, the most essential infrastructure and public usage services, this condition can be eliminated.
  • To lessen inflation: Inflation is the phenomena of rising prices. Therefore, government can extract a sizable amount of labour from the populace by incurring debt, but contemporary economists argue that government taxation, as opposed to borrowing, is more important for putting a stop to inflation because, if borrowed money is never put to useful use, the burden on the government to repay the debt increases. However, the government’s coffers can readily be emptied of waste tax revenue, reducing pressure on the economy’s productivity.
  • To pay for development strategies: A deficit always exists in a developing economy. Because these countries have lesser levels of financial capability, Therefore, the government cannot use high taxes as an excuse. To end poverty in the country, however, it is equally essential to make goals for development. In this case, taking up public debt is the only choice. Therefore, the governments of impoverished countries incur debt from their inhabitants, other governments, or foreign governments in order to conduct financial transactions.
  • The financing of public enterprises: To secure money for independently running commercial businesses, the government takes on debt.
  • Expansion of Education and Health Services: The government may take on debt in order to construct new educational and medical facilities and to provide related services. Even if it doesn’t generate any direct revenue and isn’t financially successful, this helps to advance general social wellbeing.
  • Government debt issuance may be used to finance military operations. The government needs a lot of money to defend itself against foreign attacks, pay for self-defense services, and get ready for modern decoration in light of mounting international pressure and the possibility of nuclear war. However, it is extremely difficult to finance modern conflicts only through taxation due to the detrimental consequences on productivity. Therefore, the government can seek protection from both domestic and foreign public debt in order to handle this kind of catastrophe.
  • For the Establishment of Social Society: The government currently nationalises business and industry and runs it on its own in an effort to establish a socialist society. However, doing so necessitates a substantial sum of money, which the government can only get by incurring debt.
  • To cover administrative costs before receiving money: Spending starts at the beginning of the year, while tax money is available to the government at the end of the year. As a result, the government borrows money to fund its spending at the beginning of the year and then pays it back with tax income at the end of the year.
  • To sway the public’s opinion in favour: When citizens are unable to pay their taxes, the government is compelled to incur debt. The government periodically decides against raising taxes even though the populace is more capable because things are still looking up.

Source The  Hindu

3 – National Human Rights Commission: GS II – Topic Statutory and Non-Statutory Bodies

 Context:

  • Human Rights Watch observed in their World Report 2023 that during 2022 to 2023, Indian authorities “intensified and extended” their persecution of media organisations and activist groups. The Bharatiya Janata Party-led administration’s “abusive and discriminatory measures” to repress Muslims and other minorities were also mentioned.

About the NHRC:

  • The Protection of Human Rights Act, 1993, which was later amended in 2006, designates the NHRC of India as a separate statutory organisation. It was established on October 12, 1993.
  • The NHRC celebrated its Silver Jubilee on October 12, 2018. (25 years). The company’s main office is in New Delhi.
  • It acts as the nation’s watchdog for human rights, which are those that are protected by Indian courts and guaranteed by the Indian Constitution or by international treaties. Life, liberty, equality, and the dignity of the individual are all related to these rights.
  • It was developed in accordance with the Paris Principles, which the United Nations General Assembly ratified on December 20, 1993 and which were accepted in Paris (October 1991) for the promotion and preservation of human rights.

How are human rights implemented?

  • According to the UN definition, regardless of race, sex, nationality, ethnicity, language, religion, or any other status, these rights are inherent to all persons.
  • A wide range of rights are covered by the term “human rights,” including the freedom from slavery and torture, the right to life and liberty, the freedom of speech, the right to a job and an education, among many others.
  • Everyone, without exception, has a right to these.

What led to the establishment of the NHRC?

  • On December 10, 1948, in Paris, the United Nations General Assembly adopted the Universal Declaration of Human Rights (UDHR).
  • It establishes universal protection for fundamental human rights for the first time, making it a major document in the history of human rights.
  • Human Rights Day is observed annually on December 10, which also marks the anniversary of the UDHR. 2018’s Human Rights Day honoured the declaration’s 70th anniversary.
  • Over time, it became clear how important it was to support national human rights organisations, and in 1991, a UN meeting in Paris resulted in the Paris Principles, a comprehensive set of principles.
  • On the basis of these concepts, national human rights institutions were created and are currently operated.
  • India adopted the Protection of Human Rights Act in 1993 in accordance with these ideas to improve accountability and protect the nation’s human rights.
  • This law also provided state governments the authority to establish state human rights commissions.

What is the Human Rights Council?

  • The Human Rights Council was created as an international body by a resolution voted by the UN General Assembly on March 15, 2006.
  • It has taken the place of the previous United Nations Commission on Human Rights.
  • One of its responsibilities is to confront incidents of human rights breaches and offer solutions. Additionally, it strengthens the global promotion and defence of human rights.
  • It may discuss any issue or theme pertaining to human rights that needs to be addressed all year long. It meets at the UN Office in Geneva.
  • The UN General Assembly elects the 47 UN member countries that are represented on the Council.

 The purpose of the State Human Rights Commission:

  • The Governor appoints the State Commission’s chairman and members in consultation with the Chief Minister, State Home Minister, Speaker of the Legislative Assembly, and Leader of the Opposition in the State Legislative Assembly.
  • The chairperson and members are appointed for terms of three years, or until they reach the age of 70, whichever comes first.
  • The chairperson and other commission members are chosen by the governor, but only the president has the power to remove them.

What are the primary duties and functions of the NHRC?

  • It has all of the civil court’s authority and conducts business in a judicial manner.
  • Either on its own initiative or in response to a petition, the NHRC investigates claims of human rights abuses.
  • It has the power to get involved in any legal proceeding including a claim of a violation of human rights.
  • It is permitted to use the services of any officer or investigation agency of the federal or state governments to investigate claims of human rights abuses.
  • The Commission may look into a matter within a year of it happening, which means that it cannot do so more than a year after the alleged date of the alleged human rights violation.
  • Most of the commission’s responsibilities are advisory in nature.
  • It lacks the power to provide victims of human rights breaches with any kind of remedies, including financial assistance.
  • It has a limited role, range of authority, and scope with regard to military personnel violating human rights.
  • It is helpless to intervene when private parties violate human rights.
  • It is acceptable to visit any prison or other institution under the state government’s watch to look at how the convicts are living and give them advise.
  • The safeguards provided by the constitution or any other law for the preservation of human rights may be examined, and it may suggest the necessary remedial measures.
  • Research on human rights is carried out and supported by the NHRC.
  • The National Human Rights Commission (NHRC) seeks to enhance human rights literacy among various society groups and raise awareness of the protections offered for these rights through publications, media, seminars, and other means.

 Annual Commission reports:

  • The Commission shall submit an annual report to the Central Government and the appropriate State Governments.
  • The annual reports of the Commission, as well as a memo outlining the actions taken or proposed to be taken in response to the Commission’s recommendations and the reasons, if any, for not accepting them, must be laid before each House of Parliament or the State Legislature, as appropriate, by the Central Government and the State Government, respectively.

What are the Restrictions of the NHRC?

  • There is no system in place for the NHRC to conduct inquiries. Most frequently, it asks the concerned Central and State Governments to investigate cases of human rights breaches.
  • Soli Sorabjee, a former attorney general of India, called it “India’s taunting illusion” due to its inability to offer the affected party any real remedy.
  • The NHRC is only permitted to make recommendations; it does not have the power to make decisions.
  • The NHRC frequently attracts judges and bureaucrats with political sympathies who are looking for a place to retire, and its functions are further impeded by a lack of finance.
  • Many complaints remain unsolved as a result of the NHRC’s incapacity to review complaints submitted more than a year after the incident.
  • The recommendations of the NHRC are frequently flatly rejected by the government or only partially adopted.
  • Since they are unable to obtain information from the national government, state human rights commissioners are effectively denied the ability to investigate military units that are under national control.
  • The National Human Rights Commission’s ability to look into alleged violations of human rights by the armed forces is often limited.
  • What adjustments could be made to improve the efficiency of the NHRC?
  • To be a more effective vigilance agency against violations of international human rights, the NHRC requires a complete overhaul.
  • The government can improve the performance of the NHRC by making commission decisions enforceable.
  • It is necessary to change the composition of the commission to include activists and members of civil society.
  • The NHRC is required to create an independent personnel cadre with the required credentials.
  • By updating several of India’s out-of-date and archaic legislation, the government can boost regulation transparency.
  • If the human rights situation in India is to be enhanced and improved, collaboration between state and non-state organisations is necessary.

Source The  Hindu

4 – Line of Actual Control: GS II – Topic International Relations

Context:

  • There have been “substantial advances,” and all-weather and alternative links are planned, according to Army head Gen. Manoj Pande. On the Chinese side, there have reportedly been reports of infrastructure development, but this has not been the case with our side.

 Details of the LAC:

  • LAC stands for Line of Actual Control. It delineates the line separating China and India. Despite the fact that there was not yet a firm agreement on the locations of the two countries, the idea of a “Line of Actual Control” (LAC) was proposed in a bilateral agreement in 1993.
  • Areas ruled by China and those ruled by India are divided by the LAC. The Chinese and Indian armies are separated by a significant distance, maybe between 50 and 100 kilometres.
  • The Chinese government estimates the LAC to be about 2,000 km long, while India estimates it to be 3,488 km long.
  • The LAC is divided into three sections: the eastern section, which includes Arunachal Pradesh and Sikkim, the middle section, which includes Himachal Pradesh, and the western section, which includes Ladakh.

What sets LAC apart from LOC:

  • During the Kashmir War, the cease-fire line established by the UN in 1948 was crossed, which allowed the LOC to grow (UN).
  • In 1972, after the two countries’ Shimla Agreement, it was granted the name “LoC.” It is displayed on a map that has been signed by the DGMOs of both forces and has the international sanctity of an actual treaty.
  • However, the LAC is simply a concept; neither of the two nations accepts it, nor is it depicted on a map or well delineated on the ground.

 India-China Conflict Close to the LAC:

  • Although the entire state of Arunachal Pradesh is claimed as South Tibet in the eastern sector, the LAC mainly aligns with China’s line of claim in this instance.
  • When the Indian Prime Minister visited China in May 2015, the Chinese refused the proposal to define the LAC.
  • However, China and India both emphasised that they will cooperate to “keep stability and peace in the border areas” at the summits in Wuhan (2018) and Mahabalipuram (2019).
  • In the current fighting that has occurred since May 2020 at Galwan Valley, Pangong Tso Lake, and other sites throughout LAC, soldiers from both countries have been killed. Tension along LAC has significantly increased since that time.

Source The  Hindu

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