Sep 17 UPSC Current Affairs – PM IAS

1.Judicial Reforms and Landmark Judgments

Syllabus Relevance

  • General Studies Paper II: This topic is central to the syllabus, covering “Structure, organization and functioning of the Judiciary,” “Appointment to various Constitutional posts, powers, functions and responsibilities of various Constitutional Bodies,” and “Government policies and interventions for development in various sectors and issues arising out of their design and implementation.”
  • Connection to Other Areas: It is also relevant to understanding the balance of power between the executive, legislature, and judiciary, and its role in protecting fundamental rights and upholding constitutional values.

Context

  • Role of the Judiciary: The Indian Judiciary is the guardian of the Constitution and the ultimate arbiter of disputes. Its independence is a cornerstone of India’s democratic framework.
  • Challenges: The judiciary faces significant challenges, including a massive backlog of cases, a lack of transparency in judicial appointments, and concerns about judicial accountability.

  • Appointments and Collegium System: The Collegium system, where senior judges appoint new judges, is a major point of debate.
    • Concerns: Critics argue it lacks transparency and accountability, leading to a system of “judges appointing judges.” The Executive has pushed for a more inclusive process, as seen with the attempted introduction of the National Judicial Appointments Commission (NJAC).
    • Arguments for: Proponents argue that the system is essential to maintain judicial independence from executive interference. The Supreme Court has upheld its validity, reinforcing the judiciary’s role in its own appointments.
  • Judicial Accountability and Ethics: There are ongoing discussions about a mechanism to handle complaints against judges.
    • In-house Mechanism: The judiciary currently has an internal system for handling complaints, but its effectiveness and transparency are questioned.
    • Judicial Standards and Accountability Bill: The proposed legislation, which would have created a National Judicial Oversight Committee, has not been enacted, leaving a gap in external accountability.
  • Case Pendency and Delays: The backlog of cases in Indian courts is a critical issue.
    • Causes: The primary causes include an inadequate number of judges, frequent adjournments, and complex procedural laws.
    • Impact: This delay undermines the principle of “justice delayed is justice denied,” affecting citizens’ trust in the legal system. It also impacts business and economic activity by making contract enforcement slow and unreliable.
  • Landmark Judgments: The Supreme Court has delivered several landmark judgments that have shaped Indian governance and society.
    • Basic Structure Doctrine: The Kesavananda Bharati case (1973) established that the Parliament cannot amend the “basic structure” of the Constitution. This judgment remains a key check on legislative power.
    • Right to Privacy: The K.S. Puttaswamy case (2017) declared the right to privacy a fundamental right, significantly expanding individual liberties.
    • Decriminalization of Homosexuality: The Navtej Singh Johar case (2018) struck down a part of Section 377, decriminalizing consensual same-sex relations.
    • Sabarimala Temple Case: The judgment allowing women of all ages into the Sabarimala temple highlighted the conflict between religious tradition and constitutional morality.

Way Forward

  • Judicial Appointments: A more transparent and accountable system, potentially with a reformed collegium that includes non-judicial members, could build public trust while protecting judicial independence.
  • Case Management: The adoption of technology, such as e-courts and artificial intelligence for case management, can help reduce the backlog. Increasing the number of judges and establishing fast-track courts for specific cases are also crucial steps.
  • Alternative Dispute Resolution (ADR): Promoting mediation and arbitration can help reduce the burden on courts, especially for commercial disputes and family matters.
  • Judicial Education: Continuous training for judges can ensure they are updated on new laws, social changes, and technological advancements.

Conclusion

  • The Indian Judiciary is at a crossroads, balancing its role as a constitutional guardian with the need for reform.
  • Resolving issues of appointments, accountability, and case pendency is vital to maintain public trust and ensure the judiciary’s effectiveness.
  • Landmark judgments demonstrate the judiciary’s proactive role in protecting rights and shaping the nation, but these need to be complemented by systemic and institutional reforms to ensure that justice is accessible, affordable, and delivered in a timely manner.

Practice Mains Question

  • Question: “The Supreme Court’s ‘Basic Structure Doctrine’ has acted as a bulwark against majoritarianism and has protected the constitutional fabric of India. However, critics argue that it gives the judiciary excessive power.” Critically analyze this statement and evaluate the role of the judiciary in preserving the Constitution’s fundamental values. (250 words)

2.Government Schemes and Policy Initiatives

Syllabus Relevance

  • General Studies Paper II: This is a core topic in GS-II, explicitly addressing “Welfare Schemes for vulnerable sections of the population by the Centre and States and the performance of these schemes,” as well as “Issues relating to development and management of Social Sector/Services relating to Health, Education, Human Resources.”
  • General Studies Paper III: It is also relevant for GS-III under “Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment” and “Inclusive Growth and issues arising from it.”

Context

  • Policy as a Tool: Government schemes are the primary instrument through which the state fulfills its constitutional obligations and implements its socio-economic policies. They are designed to address a wide range of issues, from poverty and unemployment to infrastructure development and environmental protection.
  • Evolving Focus: The nature and focus of schemes have evolved over the years, moving from a basic welfare approach to a more targeted, technology-driven model aimed at inclusive growth and “ease of living.” This includes the use of digital technology for direct benefit transfers (DBT), which aims to reduce leakages and enhance efficiency.
  • Social Justice and Equity: Schemes like the National Food Security Act (NFSA), PM Jan Dhan Yojana, and PM Awas Yojana aim to provide a social security net and basic amenities to the poor and marginalized. They are designed to address the deep-rooted issues of poverty, financial exclusion, and inadequate housing. However, challenges in implementation, such as identifying the truly needy and ensuring last-mile delivery, persist. The PM-Kisan scheme is another example, providing income support to small and marginal farmers, directly impacting rural livelihoods and addressing agrarian distress.
  • Economic Growth and Inclusion: Initiatives like the Production Linked Incentive (PLI) scheme and the National Infrastructure Pipeline (NIP) are aimed at boosting domestic manufacturing, creating jobs, and attracting foreign investment. Schemes like Mudra Yojana and the Stand-Up India scheme focus on financial inclusion and entrepreneurship, particularly for women and those from disadvantaged communities. The goal is to move from a welfare-oriented economy to one driven by enterprise and innovation, ensuring that the benefits of growth are shared widely.
  • Governance and Technology: The government has increasingly leveraged technology to improve scheme delivery. The JAM Trinity (Jan Dhan-Aadhaar-Mobile) is a prime example, enabling the direct transfer of subsidies and benefits to beneficiaries’ bank accounts. This has drastically reduced corruption and delays. The MyGov portal and Digital India initiative are also part of this push, aiming for greater transparency and citizen participation in governance. However, challenges like the digital divide and the exclusion of those without access to technology or the internet remain.
  • Sector-Specific Reforms: The government’s policy initiatives are often targeted at specific sectors to address their unique challenges. For example, in the health sector, schemes like Ayushman Bharat aim to provide universal health coverage, while in the education sector, the National Education Policy (NEP) seeks to overhaul the entire educational system. In agriculture, schemes like the Pradhan Mantri Fasal Bima Yojana (crop insurance) and the e-NAM (National Agriculture Market) aim to protect farmers and ensure better market linkages.

Way Forward

  • Effective Implementation: The success of any scheme hinges on its effective implementation. This requires strengthening the institutional capacity at the grassroots level, improving bureaucratic accountability, and ensuring a robust monitoring and evaluation framework.
  • Targeted Approach: While universal schemes have their place, a more nuanced, targeted approach is needed to address the specific needs of different groups and regions. Policy design must be flexible enough to adapt to local contexts.
  • Fiscal Sustainability: Many schemes require significant public expenditure. It is crucial to ensure that these schemes are fiscally sustainable in the long run and do not unduly strain the national exchequer.
  • Citizen Participation: Encouraging citizen and civil society participation in the design, implementation, and monitoring of schemes can make them more effective and responsive to the public’s needs.

Conclusion

  • Government schemes and policy initiatives are not merely welfare measures; they are a reflection of India’s development strategy.
  • While they have been instrumental in addressing poverty and promoting inclusion, their true potential can only be realized through a focus on transparency, efficiency, and last-mile delivery.
  • The transition to a technology-driven, targeted approach holds great promise, but it must be inclusive, ensuring that no one is left behind in the pursuit of growth and development.

Practice Mains Question

Question: “The success of government schemes for socio-economic development is often limited by a lack of effective implementation and last-mile connectivity.” Critically analyze this statement in the context of recent welfare initiatives in India and suggest measures to overcome these challenges. (250 words)

3.Union Budget and Economic Survey

Syllabus Relevance

  • General Studies Paper III: This topic is a cornerstone of the GS-III syllabus, specifically under “Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment” and “Inclusive growth and issues arising from it.”
  • General Studies Paper II: The budget’s allocations for various social sectors and government schemes also link it to GS-II on “Governance, Social Justice, and Welfare Schemes.”

Context

  • The Budget as a Vision Document: The Union Budget is more than just an annual financial statement; it is a key policy instrument that reflects the government’s economic philosophy and its vision for the future. It outlines the government’s proposed revenues and expenditures for the upcoming fiscal year.
  • The Economic Survey as a Retrospective: The Economic Survey, released a day before the budget, provides a detailed review of the economy’s performance over the past year. It analyzes key trends, challenges, and prospects, offering a contextual backdrop for the budget’s proposals. Together, they form a comprehensive overview of the state of the Indian economy.

  • Macroeconomic Outlook: The Economic Survey analyzes key macroeconomic indicators such as GDP growth, inflation, fiscal deficit, and trade balance. It provides a data-driven narrative on the health of the economy, identifying areas of strength and weakness. For example, it might highlight the resilience of the services sector while pointing out challenges in manufacturing or agriculture.
  • Fiscal Policy and Resource Mobilization: The Budget lays out the government’s fiscal strategy, including its plans for taxation and expenditure.
    • Taxation: It may introduce new tax policies (e.g., changes in income tax slabs, corporate tax rates, or customs duties) to raise revenue and incentivize certain sectors. A move towards a simpler, more transparent tax system is a consistent theme.
    • Expenditure: It details spending allocations across various sectors—defense, infrastructure, social welfare, and subsidies. The focus is often on capital expenditure, as it is seen as a driver of long-term growth and job creation.
  • Sector-Specific Initiatives: Both the Budget and the Economic Survey provide a deep dive into specific sectors.
    • Infrastructure: The budget usually allocates significant funds for infrastructure projects (roads, railways, ports, etc.), which are crucial for enhancing India’s competitiveness. The focus on schemes like the Pradhan Mantri Gati Shakti program is a recent example of this.
    • Agriculture: Proposals often include measures to support farmers, such as credit availability, crop insurance schemes, and technology adoption.
    • Social Sector: The budget’s allocations for health (e.g., Ayushman Bharat), education (National Education Policy), and poverty alleviation schemes reflect the government’s commitment to inclusive growth.
  • Challenges and Risks: The Economic Survey often highlights potential risks to the economy, such as global economic slowdowns, rising inflation, and geopolitical instability. The Budget then outlines the government’s strategy to mitigate these risks. For instance, in a high-inflation environment, the government might reduce certain taxes or manage food prices through targeted subsidies.

Way Forward

  • Fiscal Consolidation: A key challenge is managing the fiscal deficit. While increased spending is needed for development, it must be balanced with fiscal discipline to maintain macroeconomic stability. The government must find a way to increase revenue without burdening citizens and businesses.
  • Investment-Driven Growth: The focus should remain on boosting private sector investment. This requires creating a stable policy environment, reducing regulatory hurdles, and strengthening the banking sector to facilitate credit flow.
  • Targeted Subsidies: The Economic Survey often advocates for a shift from untargeted subsidies to a more efficient, direct benefit transfer (DBT) system. This can reduce leakages and ensure that benefits reach the most deserving populations.
  • Long-Term Vision: The budget should not be a one-off annual exercise but part of a consistent, long-term economic strategy. This includes focusing on structural reforms in sectors like agriculture, labor, and finance to unlock India’s full economic potential.

Conclusion

  • The Union Budget and the Economic Survey are essential tools for understanding the state of the Indian economy and the government’s policy direction.
  • While the budget provides a snapshot of the government’s immediate priorities, the survey offers a comprehensive, data-backed analysis of economic performance and challenges.
  • A critical analysis of these documents is crucial for understanding India’s economic trajectory, its development challenges, and the policy levers being used to address them.

Practice Mains Question

Question: “The Union Budget, while being a financial statement, is a powerful tool for socio-economic transformation. However, its effectiveness is often constrained by fiscal deficit targets and the imperative of political populism.” Critically analyze this statement, with reference to recent budget priorities and their impact on India’s growth and development. (250 words)

4.Monetary Policy and RBI Decisions

Syllabus Relevance

  • General Studies Paper III: This topic is a core component of the GS-III syllabus, specifically under “Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment” and “Inclusive growth.” It is crucial for understanding the management of inflation and the financial system.
  • General Studies Paper II: The decisions of the Reserve Bank of India (RBI) and the functioning of the Monetary Policy Committee (MPC) are also relevant for GS-II, as they touch upon the functions of statutory bodies and their role in governance.

Context

  • RBI’s Mandate: The Reserve Bank of India (RBI) is the central bank of the country and is responsible for maintaining monetary stability. Its primary objective, as per the amended RBI Act, is to maintain price stability while keeping in mind the objective of growth. This is operationalized through a flexible inflation-targeting framework.
  • The Monetary Policy Committee (MPC): Since 2016, the MPC, a six-member body with three members from the RBI and three external members appointed by the government, has been entrusted with the task of setting the benchmark policy rate (repo rate) to keep inflation within a specified target range. The current target is 4%, with a tolerance band of +/- 2%.

Multi-Dimensional Analysis

  • Inflation Management: The RBI’s monetary policy is the primary tool for controlling inflation. When inflation rises, the RBI typically adopts a tight monetary policy.
    • Mechanism: It raises the repo rate (the rate at which the RBI lends to commercial banks), making borrowing more expensive for banks. This, in turn, leads to higher lending rates for businesses and consumers, which curbs demand and helps cool down inflationary pressures.
    • Impact: A higher repo rate discourages consumption and investment, which can slow down economic activity but is necessary to maintain price stability.
  • Supporting Economic Growth: When economic growth needs a boost, and inflation is within the comfort zone, the RBI can adopt an expansionary monetary policy.
    • Mechanism: It lowers the repo rate, making it cheaper for banks to borrow. This reduction is often passed on to customers in the form of lower interest rates on loans, encouraging borrowing, spending, and investment.
    • Impact: Lower interest rates stimulate demand, leading to increased production, job creation, and overall economic expansion.
  • Key Instruments of Monetary Policy: The RBI uses a range of tools to manage liquidity and influence economic activity.
    • Quantitative Tools: These include the Repo Rate, Reverse Repo Rate, Cash Reserve Ratio (CRR), and Statutory Liquidity Ratio (SLR). Changes in these rates and ratios directly affect the amount of money banks have to lend.
    • Qualitative Tools: These include selective credit controls and moral suasion, used to guide credit flow to specific sectors of the economy.
  • Challenges in Policy Transmission: The effectiveness of the RBI’s policies depends on their transmission to the real economy.
    • Time Lag: The full impact of a rate change is not instantaneous; it can take several months to be fully felt.
    • Banking System: Sometimes, banks may not pass on the full benefit of a rate cut to their customers, which can limit the effectiveness of an expansionary policy.
    • Global Factors: The RBI’s control is limited by global factors, such as international crude oil prices and the monetary policies of other major central banks (like the US Federal Reserve), which can influence capital flows and the exchange rate.
  • Impact on Different Stakeholders:
    • Consumers: A rate cut leads to lower EMIs on home and car loans, while a rate hike makes loans more expensive.
    • Businesses: Lower interest rates encourage businesses to borrow for expansion and new projects.
    • Financial Markets: Stock markets often react positively to a rate cut, as it signals a supportive environment for growth. The bond market is also highly sensitive to rate changes.

Way Forward

  • Enhanced Communication: The RBI must continue to enhance its communication with the public and markets to manage expectations and ensure policy transparency.
  • Strengthening Transmission: Efforts should be made to improve the transmission of policy rates to the banking system, ensuring that changes in the repo rate are reflected in lending and deposit rates.
  • Data-Driven Decisions: The MPC’s decisions should be guided by a robust analysis of high-frequency economic data to ensure that policy is proactive and responsive to evolving economic conditions.
  • Balanced Approach: Given India’s twin challenges of inflation and the need for sustained growth, the MPC must continue to strike a delicate balance between price stability and economic expansion.

Conclusion

  • The RBI’s monetary policy and the decisions of the Monetary Policy Committee are critical to the health of the Indian economy.
  • By effectively managing inflation and supporting growth through various policy instruments, the RBI plays a crucial role in maintaining macroeconomic stability.
  • The effectiveness of these policies depends not only on the RBI’s actions but also on the timely and complete transmission of these policies to the financial system and the wider economy.

Practice Mains Question

  • Question: “The shift to a flexible inflation-targeting framework has brought greater transparency and accountability to India’s monetary policy. However, its effectiveness is often hampered by incomplete policy transmission.” Analyze this statement and suggest measures to improve the efficacy of monetary policy in the Indian context. (250 words)

5.Infrastructure and Industry

Syllabus Relevance

  • General Studies Paper III: This topic is a cornerstone of the GS-III syllabus, specifically under “Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment” and “Infrastructure: Energy, Ports, Roads, Airports, Railways etc.”
  • General Studies Paper I: It is also relevant for GS-I, where topics like “industrial location factors” and “urbanisation” can be linked to the development of infrastructure and industrial corridors.

Context

  • Infrastructure as a Multiplier: High-quality infrastructure is the backbone of a modern economy. It has a significant multiplier effect, as investments in infrastructure create jobs, stimulate demand for other sectors (like steel and cement), and reduce logistics costs, thereby making the economy more competitive.
  • Industry as a Growth Engine: A strong manufacturing sector is vital for creating jobs and achieving sustainable, high-growth rates. India’s recent focus has been on boosting domestic manufacturing and reducing import dependence through various policy interventions. The goal is to make India a global manufacturing hub.

  • Mega Infrastructure Projects: The government has launched several large-scale projects to address India’s infrastructure deficit.
    • PM Gati Shakti National Master Plan: This is a transformative initiative aimed at creating a digital platform that brings together 16 ministries to ensure integrated and holistic planning of infrastructure projects. It aims to break down bureaucratic silos and reduce project completion times by providing a unified, GIS-based platform for all stakeholders.
    • National Infrastructure Pipeline (NIP): This pipeline outlines an investment of over ₹111 lakh crore across various sectors like energy, roads, and railways over five years (2020-2025). The goal is to provide a long-term vision for infrastructure development, boost investor confidence, and enable better project preparation.
    • Dedicated Freight Corridors (DFCs): The Eastern and Western DFCs are specifically designed to separate freight and passenger movement on railway tracks, thereby increasing the speed and efficiency of goods transport, which is critical for industrial growth.
  • Policy Interventions for Industry: To boost domestic manufacturing, the government has introduced several key policy measures.
    • Production Linked Incentive (PLI) Scheme: This scheme offers incentives to companies on incremental sales from products manufactured in India. The scheme covers 14 key sectors, including mobile manufacturing, automobiles, pharmaceuticals, and electronics. The goal is to attract large-scale investment, enhance India’s manufacturing capabilities, and integrate it into global supply chains.
    • Make in India: This initiative, launched in 2014, is a national program designed to transform India into a global manufacturing and design hub. The PLI scheme is a key component of this broader vision.
    • Logistics Policy: The recently launched National Logistics Policy aims to reduce logistics costs from the current high level (13-14% of GDP) to a global benchmark of less than 10%. This is crucial for making Indian products competitive in international markets.
  • Challenges and Bottlenecks:
    • Land Acquisition and Clearances: Delays in acquiring land and obtaining environmental and regulatory clearances are major hurdles that lead to cost overruns and project delays.
    • Financing: Many infrastructure projects have long gestation periods and require massive capital, which poses a significant financing challenge. The National Bank for Financing Infrastructure and Development (NaBFID) was set up to address this.
    • Inter-Ministerial Coordination: Despite initiatives like PM Gati Shakti, coordination between different ministries and state governments remains a challenge.
    • Skill Gap: The lack of a skilled workforce and a robust R&D ecosystem can hinder the growth of high-tech manufacturing sectors, even with incentives in place.

Way Forward

  • Streamline Approvals: A single-window clearance mechanism for large-scale projects, coupled with transparent and time-bound approval processes, is essential to attract private investment.
  • Innovative Financing: The government needs to explore innovative financing models, such as Infrastructure Investment Trusts (InvITs) and asset monetization, to fund infrastructure projects and reduce the fiscal burden.
  • Skill Development: Investments in skill development programs, technical education, and vocational training are crucial to create a workforce that can support a modern manufacturing ecosystem.
  • Promote R&D: Incentivizing research and development (R&D) and fostering a culture of innovation are key to moving up the value chain and developing cutting-edge technologies.

Conclusion

  • India’s focus on infrastructure and industry is a strategic move to transition from a services-led economy to a more balanced and resilient one.
  • The government’s ambitious projects and policy initiatives are laying the groundwork for a globally competitive manufacturing and logistics ecosystem.
  • However, the success of these initiatives will depend on their effective and timely execution, addressing long-standing issues related to land acquisition, financing, and inter-agency coordination.

Practice Mains Question

Question: “The PM Gati Shakti National Master Plan is a paradigm shift in India’s approach to infrastructure development, but its success hinges on its ability to overcome traditional administrative and financial bottlenecks.” Critically analyze this statement, providing an evaluation of the plan’s potential and its associated challenges. (250 words)

6.India’s Foreign Policy and Diplomatic Engagements

Syllabus Relevance

  • General Studies Paper II: This topic is a core component of the GS-II syllabus under “India and its neighborhood- relations,” “Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests,” and “Effect of policies and politics of developed and developing countries on India’s interests.”
  • General Studies Paper III: It also has a strong connection to GS-III, as foreign policy decisions on trade, investment, and technology transfer have a direct impact on the Indian economy.

Context

  • Evolution of Foreign Policy: India’s foreign policy has evolved from the principle of Non-Alignment during the Cold War to a multi-aligned and pragmatic approach in the 21st century. The current policy is guided by the philosophy of “Vasudhaiva Kutumbakam” (the world is one family) and focuses on protecting India’s strategic autonomy while actively engaging with major global powers and multilateral forums.
  • Key Drivers: India’s foreign policy is driven by its national interests, including economic development, energy security, and regional stability. It is also shaped by global geopolitical shifts, such as the rise of a multipolar world and the increasing influence of non-state actors.

  • Bilateral Relations: India has strengthened its relationships with key partners.
    • Strategic Partners: Relations with the United States have deepened, particularly in defense, technology, and trade. With Russia, India maintains a strong defense and energy partnership, navigating the complexities of the Russia-Ukraine conflict.
    • Neighborhood First Policy: India’s policy prioritizes its immediate neighbors. This includes initiatives like the BIMSTEC (Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation) and the SAARC (South Asian Association for Regional Cooperation). However, challenges persist with countries like Pakistan and China.
    • Extended Neighborhood: India has actively engaged with the Middle East for energy security and with Central Asia for strategic connectivity. The Act East Policy seeks to deepen economic and strategic ties with Southeast Asian nations.
  • Multilateral Engagements: India is playing an increasingly proactive role in global forums.
    • UN and G20: India has been vocal about the need for reforms in international institutions, including the United Nations Security Council, to reflect the new global realities. India’s presidency of the G20 provided a platform to push for priorities like climate finance, sustainable development, and digital public infrastructure.
    • Quad and Indo-Pacific: India is a key member of the Quad (Quadrilateral Security Dialogue), along with the US, Japan, and Australia. This grouping is aimed at ensuring a free and open Indo-Pacific region, which is critical for global trade and security. This engagement reflects India’s growing role as a net security provider in the Indian Ocean region.
    • BRICS and SCO: India is also an active member of blocs like BRICS (Brazil, Russia, India, China, and South Africa) and the Shanghai Cooperation Organisation (SCO). These groupings provide a platform for India to engage with a diverse set of countries on issues ranging from economic cooperation to counter-terrorism.
  • Economic Diplomacy: Foreign policy is increasingly intertwined with economic goals.
    • Trade Agreements: India is actively pursuing Free Trade Agreements (FTAs) with major economies like the UK, EU, and Australia to boost its exports and integrate into global value chains.
    • Investment and Technology: India uses its diplomatic engagements to attract foreign direct investment (FDI) and secure access to critical technologies in defense, space, and semiconductors.
  • Challenges and Constraints:
    • Border Tensions: The ongoing border disputes with China pose a significant challenge to India’s security and its strategic options.
    • Balancing Act: India faces the complex challenge of balancing its relations with the US and the West while maintaining its long-standing strategic partnership with Russia.
    • Climate Diplomacy: India is under pressure to commit to more aggressive climate targets, which it argues could impact its development aspirations. This requires deft diplomacy to secure climate finance and technology transfers from developed nations.

Way Forward

  • Strengthening Economic Diplomacy: India must leverage its growing economic power to drive its foreign policy objectives. This includes actively promoting its economic interests in trade negotiations and attracting investment.
  • Revitalizing Regional Engagements: Efforts to strengthen regional blocs like BIMSTEC and a renewed focus on multilateral cooperation are crucial for stability and prosperity in the neighborhood.
  • Strategic Autonomy: India must continue to prioritize its strategic autonomy, making decisions based on its national interests rather than being aligned with any single power bloc.
  • Public Diplomacy: Engaging with the Indian diaspora and using cultural diplomacy can help build bridges and enhance India’s soft power globally.

Conclusion

  • India’s foreign policy has successfully adapted to a complex and dynamic global landscape.
  • It is a blend of pragmatism and principles, guided by national interest and a commitment to a multipolar world order.
  • The success of this policy will depend on India’s ability to manage its complex relationships with major powers, resolve its border issues, and effectively leverage its growing economic and diplomatic influence on the world stage.

Practice Mains Question

  • Question: “India’s foreign policy has successfully transitioned from non-alignment to multi-alignment, but this ‘balancing act’ is becoming increasingly challenging in a multipolar world.” Critically analyze this statement, with reference to India’s diplomatic engagements with the US, Russia, and China. (250 words)

7.Geopolitical Developments

Syllabus Relevance

  • General Studies Paper II: This topic is a core component of the GS-II syllabus under “Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests” and “Effect of policies and politics of developed and developing countries on India’s interests, Indian diaspora.”
  • General Studies Paper III: It also connects to GS-III as geopolitical developments have a direct impact on the Indian economy, particularly concerning energy security, trade, and supply chains.

Context

  • Evolving Global Order: The world is transitioning from a unipolar, US-dominated order to a multipolar one, where the rise of major powers like China, a resurgent Russia, and blocs like the EU are reshaping global dynamics. This shift is characterized by heightened great-power competition, economic nationalism, and a fragmentation of traditional alliances.
  • India’s Position: India, with its growing economic and military might, is at the center of this geopolitical churn. It is not an ally of any single power but a crucial strategic partner for many, navigating a complex web of relationships to safeguard its national interests.

  • US-China Rivalry: The most significant geopolitical development is the strategic competition between the United States and China.
    • Impact on India: India finds itself in a delicate position. The US views India as a key partner in its strategy to counter China’s growing influence in the Indo-Pacific. At the same time, China’s aggressive actions on the Line of Actual Control (LAC) and its increasing presence in the Indian Ocean region directly threaten India’s security interests.
    • India’s Strategy: India’s response is a policy of strategic autonomy, where it avoids becoming a pawn in this rivalry. It participates in forums like the Quad (along with the US, Japan, and Australia) to balance China, while simultaneously engaging with China on a bilateral and multilateral level (e.g., within the SCO and BRICS) to manage tensions and resolve issues.
  • Russia-Ukraine Conflict: The war has had profound geopolitical and economic consequences.
    • India’s Stance: India has maintained a neutral, non-aligned stance, advocating for diplomacy and dialogue. This position is based on its long-standing strategic partnership with Russia, particularly in defense and energy. India has continued to import discounted Russian oil despite Western pressure, citing its energy security needs.
    • Challenges: This stance has created a delicate balancing act, as India has to manage its ties with the US and Europe, which have imposed sanctions on Russia. This has also led to new trade agreements and payment mechanisms, such as using the rupee for trade with Russia, to circumvent sanctions.
  • Middle East Tensions: The ongoing conflicts in the Middle East, particularly the Israeli-Palestinian conflict, have major implications for India’s energy security and its diaspora.
    • Energy Security: The region is a vital source of India’s crude oil and natural gas imports. Any instability or disruption can lead to price volatility and supply shocks, directly impacting India’s economy.
    • Diaspora: The safety of millions of Indian citizens working in the Gulf region is a major concern. India has a significant diplomatic and consular presence to ensure their well-being. India has been cautious in its response, advocating for a two-state solution while maintaining strong relations with both Israel and key Arab nations.
  • Economic Nationalism and Fragmentation of Supply Chains: The COVID-19 pandemic and geopolitical conflicts have exposed the vulnerabilities of global supply chains.
    • Trends: Countries are increasingly adopting protectionist policies and seeking to “de-risk” their economies by diversifying supply chains away from a single country (e.g., the “China Plus One” strategy).
    • India’s Opportunity: This presents a significant opportunity for India to emerge as an alternative manufacturing and supply chain hub. Initiatives like the PLI scheme and efforts to reduce logistics costs are aimed at capitalizing on this shift.

Way Forward

  • Prioritize Strategic Autonomy: India must continue to prioritize its strategic autonomy, leveraging its relationships with multiple powers without becoming an ally of any single bloc. This will allow it to protect its interests in a fragmented world.
  • Diversify and De-risk: India needs to accelerate its efforts to diversify its energy sources and strengthen its domestic manufacturing capabilities to reduce its vulnerability to global shocks.
  • Strengthen Regional Diplomacy: India must continue to build stronger ties with its immediate neighbors and other regional powers to counter external influences and promote stability in its periphery.
  • Active Multilateralism: India must play an active and influential role in global forums like the G20, UN, and WTO to advocate for a more equitable and inclusive global order that serves the interests of the Global South.

Conclusion

  • The current geopolitical landscape is defined by its complexity and unpredictability, with multiple centers of power vying for influence.
  • India’s foreign policy has demonstrated a pragmatic and nimble approach to this new reality, successfully navigating a difficult terrain while protecting its national interests.
  • By strengthening its strategic partnerships, addressing internal vulnerabilities, and actively shaping the global discourse, India can position itself as a key shaper of the new world order.

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