UPSC Current Affairs – February 1, 2021

Addressing the Davos Dialogue, PM Modi showcased India’s response to the pandemic, highlighting the development of health infrastructure and indigenous tools leveraging technology to aid virus tracking and vaccine rollout. He stated India guided the world on deploying alternative medicine to improve immunity while meeting export commitments.

On the economic front, stimulus packages like PM Garib Kalyan Yojana offered social security cover. The PM also outlined policy priorities across infrastructure growth, adopting Industry 4.0 technologies and maintaining business-friendly reforms push, besides India’s climate change commitments. With the Budget boosting healthcare spending amid indications growth is reviving after containment of the first Covid wave, the PM’s address sought to signal India as an attractive investment destination and reliable supply chain hub.

Russia Backs Palestinian Call for West Asia Peace Conference

In the backdrop of US President Biden seeking to reboot Israel-Palestine negotiations, Russia has backed Palestinian proposals for a new West Asia peace conference focused on achieving the two-state solution. The prospective meet involving regional powers and Quartet mediators comes even as the Abraham Accords promoted by Trump ignore statehood issues.

With Palestinians feeling isolated, experts see the Russian move as an attempt to reassert its regional clout. However, until Israel agrees to freeze settlements that undermine territorial contiguity, strong US backing for talks on core disputes viz. borders, security, Jerusalem and refugees remains key to salvaging the stalled two-state vision.

India Figures Low at 86th Place in Covid Performance Index

India has fared poorly during the pandemic, ranking 86 out of 98 nations in the Lowy Institute’s just released Covid-19 Performance Index assessing confirmed cases and deaths adjusted for testing rates and population. New Zealand led the charts followed by Vietnam, Taiwan and Thailand as smaller nations with cohesive societies generally responded better.

The key parameters measured were caseloads, fatalities, infections and tests per capita besides positive confirmation percentages. With Brazil at rock bottom in the Lowy list and the US figuring just before India, the analysis found economic strengths did not directly correlate with Covid mitigation outcomes. Instead, public trust in leadership competencies driving agile health systems made the main difference.

Virus Mutations May Help Coronavirus Escape Immune Response

Even as vaccines provide hopes for ending the pandemic, a new concern stems from evidence that SARS-CoV-2 is accumulating genetic changes enabling coronavirus variants to spread more easily and likely evade immune response from earlier infection or inoculation.

RNA viruses like SARS-CoV-2 mutate faster than DNA viruses since they lack enzymes to correct replication errors. While most mutations prove disadvantageous for the virus’s own survival, scientists warn some like the D614G ‘Spike’ protein change conferring better transmission now dominate across the world. Laboratory studies confirm the new South African, Brazilian and UK strains show markedly reduced antibody neutralization, implying vaccines may need constant updates. Hence aggressive genomic surveillance tracking variants remains vital.

Supreme Court Expands Panel in Nilgiri Corridor Case

The Supreme Court has inducted a conservationist into a technical committee examining resort owners’ complaints against sealing of buildings falling in Tamil Nadu’s Nilgiri Elephant Corridor. In 2020, the SC upheld the state’s authority to notify the corridor for the migratory path of keystone species like elephants that uphold local ecosystems.

Allowing a panel headed by a retired judge to hear individual objections against demolition, the move increases environmental representation. Home to animals like tigers and gaurs, the Sigur plateau connects Western and Eastern Ghats sustaining Nilgiri hills’ biodiversity. With corridors shrinking across India, safeguarding jumbo routes aids conservation, though balancing wildlife needs and public interests poses challenges.

India Slides in Covid Performance Index, Figures Below Regional Average

With lower scores across parameters like cases per million and test percentages, India has fared poorly in Covid mitigation performance compared to Asia-Pacific nations as per a new Lowy Institute tracker. Placed 86 out of 98 countries globally, India averaged 24.3 – far below the region’s 58.2 average as smaller nations like Thailand and Taiwan fared better overall.

Even Bangladesh and Pakistan topped India, underlining how immense population sizes and overburdened health facilities hindered the pandemic response. Although the analysis accounted for income levels, experts feel lockdown efficacy, infrastructure strengths and healthcare capacities separated better performing nations that saved lives from economic wreckers that didn’t.

Russia Welcomes Palestinian Call for West Asia Peace Conference

Russia has backed Palestine’s proposal for a multilateral peace conference focused on furthering the two-state solution, alarming Israel which skipped the meeting call. The prospective talks echo the 1993 Oslo process based on total withdrawal from occupied land. But Trump’s lopsided proposals ignored Palestinian statehood.

While Putin hailed the possible summit as a constructive restart, the Abraham Accords promoted Arab ties without resolving disputes over borders, refugees, settlements etc. With Palestinians isolated recently, Russia’s openness signals its intent to reassert leverage as the US seeks a refreshed role and ties with Palestinian leadership.

Studies Confirm New Variants Spread Faster, Can Evade Immunities

Multiple new studies have established that emerging coronavirus strains like the UK and South African variants can disseminate more efficiently besides evading naturally developed Covid antibodies present in recovered patients and vaccinated people. Testing confirmed slower neutralization of virus samples by serum from Pfizer and Moderna vaccine recipients against the latest mutations.

The ability of variants to skirt immune defenses has also resulted in confirmed reinfections in South Africa per research reports. Although current vaccines retain efficacy so far, iterative booster adjustments are expected to counter variants going ahead. With jabs tipped to eventually end the pandemic, production innovations and genomic tracking of mutations remain vital to prevent future outbreaks.

Panel Hearing Pleas Against Sealing Nilgiri Corridor Expanded

The Supreme Court has expanded a technical panel scrutinizing objections filed by resort owners and other landowners against sealing structures situated in Tamil Nadu’s Nilgiri Elephant Corridor falling within a designated protected area. Earlier upholding the state’s authority to notify the migratory path in the Sigur Plateau, the SC directed a committee headed by a retired judge to assess complaints case-wise, now inducting a conservationist member.

Home to gaurs, tigers and other animals, preserving habitat connectivity poses challenges with corridors shrinking nationwide due to encroachments. While public interests warrant balancing, safeguarding endangered Asian elephant routes aids Western Ghats biodiversity.

At WEF Platform, PM Showcases India’s Vaccine Production Strength

Speaking at the Davos Dialogue virtual summit hosted by World Economic Forum, PM Modi highlighted India’s emergence as a global vaccine hub that can assist the world, having already exported coronavirus vaccines to several countries. With Serum Institute manufacturing the Oxford-AstraZeneca shots and Bharat Biotech indigenous vaccine supplies now being administered domestically, the PM outlined collaborative potential across production and R&D.

He also reviewed the country’s rapid technology deployment for Covid surveillance, contact tracing and vaccine delivery digitally integrated via platforms like CoWIN. Having effectively tackled the first pandemic wave via public adherence to safety protocols, India’s costs advantages can further burnish its pharmaceutical manufacturing niche globally.

Economic Survey Projects 11% Growth in FY 2021-22

The Economic Survey 2020-21 tabled in Parliament has projected India’s GDP will grow by 11% in 2021-22 in a strong V-shaped recovery after estimated contraction of 7.7% in the current pandemic year. With indicators like power demand, manufacturing PMI, exports and revenue collections displaying uptick since July 2020 unlock, the survey cited sector specific higher growth estimates next fiscal on low base along with boost from reforms and easing supply side constraints.

Fiscal stimulus is also poised to fire consumption and investment, even as vaccination drives may fully reopen contact services. However, health infrastructure requires major ramp up illustrated by India’s low rank on health access. While economic activity normalises, legacy asset risks for banks and fiscal strains will need navigating as will growth distribution gaps.

Survey Bats for New Farm Laws, Says Will Aid Small Farmers

An extensive section defending the three contentious farm laws makes up the Economic Survey this year, contending they herald new market freedoms benefitting mainly small and marginal farmers oppressed under old APMC rules. Arguing 86% cultivators own under 2 hectares, the survey says allowing trade outside state run ‘mandis’ along with legal guarantee of MSP procurement will boost price realisation and raise productivity.

However, farmers allege large corporates will exploit them on prices without state assured purchases or dispute resolution mechanisms. With protests continuing, the survey may not shift views, also ignoring impacts of long run role redefinition of FCI, state agencies in the new ecosystem backed fully here sans risk acknowledgement.

Fiscal Deficit Overshoots Full Year Target by December 2020

With COVID-19 severely impacting business activity and hence tax collections while spending rose on stimulus packages, India’s fiscal deficit target has been breached in the first 9 months of the financial year itself. Data showed that until December 2020, fiscal deficit had hit 145.5% of the full year budget estimate, mainly due to over 32% revenue shortfall compared to required run rate.

Though pandemic relief expenditure was essential to support lives and livelihoods, missing fiscal markers is problematic with rating agencies warning against debt risks. The government also has limited headroom left to provide additional boost if needed. However, prioritising infra spending aligned to public investment pledges may have dual advantage of spurring growth and jobs.

Environmental Concerns Over NITI Aayog’s Plan for Little Andaman

The NITI Aayog vision document on developing Little Andaman Island into a Singapore style economic zone has raised red flags over glossing over the region’s vulnerability with conservationists alleging it disregards ecological sensitivities, biodiversity needs and indigenous rights.

With 95% forest cover and rare species including leatherback turtles that nest in the unspoilt beaches, critics say the mega greenfield coastal city plan entailing large scale land use change may irrevocably damage natural assets, also warning about past devastation from earthquakes and tsunamis. Tribal welfare and opinions also do not find mention in the proposal. But with the island strategic for security, effective safeguards balancing environment and growth factors require constructive discussion.

Survey Pushes Healthcare Reforms, Spotlights PM Schemes’ Role

Flagging India’s low health spend, the Economic Survey has made a case for hiking public expenditure to 2.5-3% of GDP in line with National Health Policy goals to bridge infrastructure gaps and meet rising costs. With high out of pocket costs burdening households, it favourably reviewed PM Jan Arogya Yojana extending secondary and tertiary coverage for 50 crore vulnerable Indians.

The National Health Mission’s efforts in expanding maternal and child care access were also credited for addressing health inequities significantly. The survey called for focus on delivering benefits of flagship initiatives, increased resources and greater health awareness for better outcomes. Leveraging technology for telemedicine and surveillance etc, regulating service charges and boosting R&D were other aspects highlighted.

Survey Makes Case for Countercyclical Fiscal Policy

Championing the merits of countercyclical fiscal expenditure, the Economic Survey states that growth leads to better debt sustainability in the Indian context instead of vice versa necessarily. Hence, it advocates strategic government spending to boost demand during downturns for quicker economic turnarounds.

Emphasising the need to invoke escape clauses suspending fiscal rules that cap deficit during crisis times, it holds unprecedented situations justify utilizing greater policy room available currently at low inflation. While favouring financing infrastructure expansion through higher market borrowings, the survey warns regulatory forbearance on banks’ asset classification should be limited to the pandemic with transparency returning via subsequent clean up exercises.

Revenue Shortfall, Tax Buoyancy Issues Flagged in Survey

While assessing the stark fiscal outlook, the Economic Survey has sought priority action to correct flagging tax buoyancy, address revenue uncertainty plaguing budgets and boost collections through widened tax nets rather than higher rates.

With FY21 tax mop up set to fall significantly short of targets on muted GST inflows and shrinkage in personal incomes, growth orientation calls for considering temporary COVID-19 cesses on those earning higher incomes. Underscoring the need for transparency on true fiscal position, it also advised eschewing off budget financing and relying on core Budget funding clearly disclosed. Improving business environment and larger capital spending are other suggestions apart from strengthening GST, tackling compliance gaps.

Tourism Ministry Celebrates Nation’s Diversity at Virtual Bharat Parv

The Tourism Ministry’s annual Bharat Parv festival was for the first time celebrated virtually this Republic Day week to showcase the country’s rich cultural diversity through central ministry pavilions and state tourism highlight reels. The online platform will also promote domestic tourism under ‘Dekho Apna Desh’ covering heritage sites, cuisine, language, wildlife and handicraft traditions nationwide as travel resumes post unlock.

A key highlight is the Statue of Unity virtual experience at the world’s tallest statue exemplifying unity. The ‘Ek Bharat Shreshtha Bharat’ twinning concept further links states promoting bilateral cultural exchange for stronger national integration. After the pandemic induced economic setbacks for tourism sector, initiatives spurring local demand remain vital for recovery.

Tiger Cub Training Programme Starts at Periyar Reserve

In a first, Kerala’s Periyar Tiger Reserve has begun an in-situ training initiative to equip an orphaned 8 month old tiger cub in hunting and honing survival skills needed before its eventual release into natural habitat. With only an experienced mother able to groom cubs to hunt, staffers aim to habituate the young predator to stalk, chase and kill prey like deer through monitored practice in the protected reserve itself unlike rearing in captivity.

Conservationists have hailed the programme started before imprinting stage as vital for ensuring threatened tiger populations maintain fearlessness towards human settlements. If successful, the learning model can significantly aid rewilding efforts and reducing straying risks nationwide through correcting distorted anti-predatory responses early.

Survey Pushes Job Creation Agenda, Easing Labour Compliances

Spotlighting India’s urgent employment paradox with rapidly declining working age population ratios, the Economic Survey seeks addressing labour market inflexibilities and skill mismatches dragging workforce participation rates. Underscoring job creation as growth’s main litmus test, it suggests streamlining multiple legacy codes into the new four labour codes for transparency, better compliance and reducing regulatory burdens that hamper investments.

Flagging low female labour force share, the survey pushes incentives enhancing women contribution through higher workforce diversity, payment parity, upskilling avenues etc. With Covid deepening existing gig vulnerabilities, formalisation of informal sector along with social security extension and countercyclical fiscal push have been advised.