31 March 2023

DAILY CURRENT AFFAIRS ANALYSIS

 1 – Rare Diseases: GS II – Topic Health issues:

 Context:

• The National Strategy for Rare Diseases 2021 lists all of the rare diseases that have been completely exempted by the Central Government from basic customs duty. This exemption was announced as a general exemption.

What conditions are rare diseases:

• A rare disease is any sickness that only affects a small percentage of the population, such as fewer than 200,000 people over a wide spectrum of probable disorders.
• The majority of medical professionals think that these rare diseases are inherited and pass from one generation to the next.
• Autoimmune disorders, Lysosomal storage diseases such Pompe disease and Gaucher’s disease, as well as haemophilia, thalassemia, sickle cell anaemia, and primary immunodeficiency in children are all considered rare diseases in India.

The National Policy for Rare Diseases (NPRD 2021):

• One of the objectives is to promote research and development for the detection and treatment of rare diseases.
• the promotion of regional drug research and development, as well as the establishment of favourable conditions for low-cost indigenous drug production for rare diseases.
• Rare diseases have been recognised and categorised into three classes.
• Category 1: Conditions that have a single, effective treatment.
• Group 2: Conditions that have been documented in the literature to have a significantly lower cost and therapeutic benefit call for yearly or more frequent monitoring. Some illnesses require lifelong/extensive therapy.
• Group 3: Diseases that have a permanent cure, but selecting the proper patient is challenging because of things like high cost and lifetime care.
• There are eight (08) Centers of Excellence focused on the identification, prevention, and management of rare diseases (CoEs).
• There are currently five Nidan Kendras that provide genetic testing and counselling.

Challenges in India:

• Fewer than 1 in 10 people receive treatment particularly for their illness, and 95% of uncommon diseases have no recognised medicines, according to statistics.
• Patients usually are unable to receive appropriate, fast care due to a lack of specific therapies, restricted access to resources, and delayed or inaccurate diagnoses.
• Children are more seriously impacted by these diseases than adults are, on average.
• 50% of new cases are observed in children, of whom 35% die before their first birthday, 10% do so between the ages of one and five, and 12% do so between the ages of five and fifteen. According to the Ministry of Health and Family Welfare, in 2017
• High cost: The yearly expense for treating rare diseases might be anything between INR 10 lakhs and INR 1 crore.
• India’s lack of a common definition of a rare disease and the scarcity of data on its occurrence are issues with the creation of its policies.
• The Indian government only created the Indian Rare Disease Registry in April 2017.
• According to data gathered from tertiary hospitals, 450 rare diseases are exclusively recorded in the registry.
• The bulk of these people have been diagnosed with Gaucher disease, which has a long history of therapies that India’s Drug Controller General has approved.
• According to NPRD regulations, many CoEs had not yet asked for financial support to treat patients.

Suggestions:

• The Rs 20 lakh sanctioned under the Rashtriya Arogya Nidhi, while substantial, is scarcely enough to cover the costs of therapy.
• The Central Government has notified the Delhi High Court that a digital platform for crowdsourcing medical treatment and pharmaceuticals for rare ailments had become active.
• Support from foundations, non-profit organisations, and crowdsourcing-based initiatives is tremendously helpful but will not be available to everyone and is only a short-term solution.
• The Takeda Pharmaceutical Company’s programme included 199 patients from 13 countries, including India, as of August 2019.
• The patient receives continued medical care and financial support from the government.
• a thorough and effective policy created in collaboration with the state governments.
• In India, solving public health challenges sustainably provides relief to thousands of people with uncommon diseases and their families.

Moving ahead:

• Private initiatives are winning the battle, but without support from the government, they cannot endure.
• The efficiency of policymaking is crucial to the efficiency of the nation and of the government as a whole.

Source The Hindu

2 – Disinvestment: GS III – Topic Indian Economy:

 Context:

• The campaign to privatise public sector companies (PSEs) and collect money through minority stake sales, which has slowed significantly since the sale of Air India, has now been explicitly acknowledged by the Finance Ministry. The government’s disinvestment objective for 2023–2024 was lowered last month by the Finance Ministry to a nine-year low of 51,000 crore.

What Is Disinvestment?

• The sale of a government subsidiary or asset, such as a Central or State public sector corporation, is referred to as disinvestment or divestment.

Disinvestment Strategies:

There are several ways to get rid of a government-owned minority stake in a business, including:

• public debut of the offering (IPO)
• after an open offer (FPO)
• Request for Bid (OFS)
• Certain financial institutions submitted bids for a government stake through institutional placement.
• Exchange-Traded Funds (ETFs): Concurrently monetize assets from various sectors and companies that make up an ETF component.
• Cross-holding: Publicly traded PSUs are allowed to purchase a government stake in another PSU.

Disinvestment by India:

• The Department of Investment and Public Asset Management in India handles all matters relating to the administration of Central Government equity investments, including the disinvestment of equity in Central Public Sector Undertakings (DIPAM).
• As the Department of Disinvestment was created as a separate Department in 1999, the Ministry of Disinvestment was founded in 2001.
• The Disinvestment Directorate has been under the Ministry of Finance’s management since 2004.
• The Department of Disinvestment was renamed the Department of Investment and Public Asset Management in 2016. (DIPAM).

The four main areas of its activity were as follows:

• Disinvesting strategically.
• Minority stake sales.
• Asset monetization.
• capital restructuring.
• The sale of Central Government equity in the former Central Public Sector Undertakings via an offer for sale, a private placement, or any other mechanism is also included.
• DIPAM is one of the Departments that reports to the Ministry of Finance.

Disinvestment and privatisation strategies:

• Two important pillars—Strategic Disinvestment and the transfer of management authority—support the Strategic Disinvestment Strategy of 2015–20.
• The strategic divestment of CPSEs is the basis of the disinvestment programme.
• The government would need to sell up to 50% of its shares in a central public sector entity (CPSE), or whatever bigger percentage the competent body considers suitable, together with managerial control, in order to participate in strategic disinvestment.

Advantages of disinvestment:

• In order to reduce spending or make up for a year’s worth of lost revenue, the government may decide to sell investments.
• Disinvestment also promotes open market trading and private asset ownership.
• Since private sector ownership and management can bring in new viewpoints and a more market-oriented mentality, the government can increase the effectiveness and competitiveness of these businesses by divesting from public sector enterprises.
• The government can use the money saved by disinvestment to fund social and infrastructure improvements, among other things.
• Disinvestment can encourage openness and accountability in the management of public firms since it can result in stricter financial and operational reporting under private ownership and management.

Challenges:

• Disinvestment is a touchy subject in India, and groups such as political parties and labour unions who oppose the sale of public firms sometimes obstruct it.
• Due to their bureaucratic and non-market oriented architecture, public sector enterprises may not be able to successfully compete in the market, making it challenging to value them.
• Disinvestment can also lead to labor-related problems because employees of public sector enterprises may be worried about losing their employment or having their compensation decrease if these businesses are sold.
• Other times, it may be challenging for the government to sell its holdings in public corporations, particularly if such businesses aren’t doing well financially.
• Many rules and approval procedures must be followed during the disinvestment process, which could add time and complexity.
• Just as litigants may protest the legality of the transaction or the terms and conditions under which it was carried out, the disinvestment process may be challenged in court.

Conclusion:

• In India, disinvestment is regarded as a crucial strategy for fostering wealth and economic expansion.
• The Indian government’s disinvestment policy aims to increase income, boost productivity in public sector businesses, encourage economic growth, and contribute to the creation of a more vibrant and sustainable economy.

Source The Hindu

3 – H1B Visa: GS II – Topic International Relations:

 Context:

• The judge’s decision allowing spouses of H-1B visa holders to work in the country is a huge relief for foreign workers in the U.S. IT industry.
• As a result, the U.S. District Judge Tanya Chutkan dismissed a case brought by Save Jobs USA, which asked the court to overturn an Obama-era rule that granted spouses of some H-1B visa holders employment authorization cards.

About:

• Even though the new work is equivalent to the previous one and requires the same precise skill sets, H-1B visa holders in the US encounter difficulties when trying to change occupations.
• Using the justification that the new role does not qualify as a “specialty vocation,” the US Citizenship and Immigration Services (USCIS) has rejected many applications from the new company.
• Using the non-immigrant H-1B visa, US businesses can hire graduate-level individuals for specialised vocations. Specialty jobs necessitate
• knowledge in theory or practise in particular fields, such as IT, finance, accounting, architecture, engineering, mathematics, physics, medicine, etc.
• Any position at the professional level that typically requires a bachelor’s degree or higher may qualify for an H-1B visa for speciality jobs.
• If the H-1B holder starts working somewhere else and the transfer is rejected, they may be considered to be “out of status” and face a three- to ten-year entry ban unless their previous employer is ready to hire them back.
• Staff in specialised occupations are eligible to apply for the US H1-B visa. For a job to be considered a speciality vocation, it must satisfy one of the following requirements:
• have a Bachelor’s degree or higher—or its equivalent—as the minimal entry qualification.
• The work has a common industry-wide degree requirement, or it is so complex or special that only someone with a degree can perform it.
• For the position, the employer typically demands a degree or its equivalent.
• Due to the specialised and complicated nature of the specific activities, obtaining a bachelor’s or higher degree is typically connected with the knowledge needed to perform the duties.
• Holders of H-1B visas are permitted to bring their spouse and children under the age of 21 to the US as dependents under the H-4 Visa category. As long as the H-1B visa holder maintains their legal status, an H4 visa holder may stay in the US.
• A person with an H-4 visa may study, get a driver’s licence, and open a bank account while they are in the country even though they are not allowed to work there.

Source The Hindu

4 – UGC: GS II – Topic Statutory and Non-Statutory Videos:

 Context:

• The proposed University Grants Commission (Setting and Operation of Campuses of Foreign Higher Educational Institutions in India) Regulations will be enacted in the first week of May, according to UGC Chairperson M. Jagdesh Kumar. Several foreign universities and embassies responded to the call for proposals, and the UGC was in the process of collating them, according to Prof. Kumar. He stated that the UGC would meet with the Central Bank of India and obtain legal counsel before announcing the guidelines.

Regulations mandated by law for the University Grants Commission include:

• In 1956, the University Grants Commission was established as a legislative body by an act of Parliament.
• Coordination, establishment, and upholding of ethical norms in higher education institutions are the main objectives. The panel upholds the interpretations put forth by the public, the government, and academic organisations.
• The Commission will convene as specified in any regulations issued in compliance with this Act, and it will conduct business in accordance with those regulations’ detailed rules of process.

 Powers and functions:

• Promotion and coordination of higher education: The Commission shall, in cooperation with the competent institutions or other entities, take any and all steps it deems necessary to enhance the promotion and coordination of higher education.
• establishing and upholding standards for academic research, testing, and instruction. The Commission has the following options to carry out its duties under this Act:
• Analyze the funding requirements for universities;
• the provision of financial aid to universities established or constituted in line with a Central Act to support their growth and upkeep;
• From the Commission’s Fund, grants to other Universities may be authorised and dispensed as the Commission deems appropriate or necessary for the development of such Universities.
• It recognises Indian universities.
• Offer any university your suggestions on how to enhance their academic programmes, and offer the organisation guidance on how to implement your suggestions.
• In order to distribute funds from the consolidated fund to universities for any general or specialised purposes, give advise to the federal government or any state government.
• It creates and upholds essential educational standards.
• It sets requirements for exams such as the CSIR UGC NET, UGC NET, and ICAR NET.
• The CAG shall audit the Commission’s books whenever and however he deems fit.
• The Commission is required to produce a report annually, which the Central Government will then transmit to both Houses of Parliament.

Institution that grants degrees:

• The following are some examples of degree-granting institutions in India:
• Central Universities: The central government provides funding for these universities, which were created by a parliamentary legislation.
• Institutes of National Importance: Institutions such as IITs, NITs, IIMs, IISERs, and other institutes are established or designated by act of Parliament.
• State Universities: These institutions are funded by the state government and were created by an act of the state legislature.
• Private Universities: These self-supporting colleges were founded by state legislature legislation.
• Institutions Considered to Be Universities: On the recommendation of the UGC, and in compliance with Section 3 of the UGC Act, 1956, the Government of India has recognised these institutions.

Source The Hindu